LG Chem's recent land purchase from a U.S. biotech firm is garnering attention due to speculations about the potential construction of a biopharmaceutical manufacturing plant. LG Chem said nothing has been decided yet.

BioProcess International, a U.S. publication that covers bioprocessing, reported on Monday that LG Chem secured 15 acres (about 60,000 square meters) of land in Vacaville, California and that the company was considering building a biomanufacturing facility. 

The land in Vacaville is owned by Agenus Bio, which is developing cancer immunotherapies such as PD-1 and CTLA-4 inhibitors. If the plant is built on the site, it will be LG Chem's first overseas biopharmaceutical plant.

The BioProcess International report quoted an official from the city of Vacaville stating that the city is preparing to assist LG Chem through its Biotechnology Fast Track permitting program to expedite the site's operational readiness for the Korean company.

LG Chem entered the biopharmaceutical business through the merger with LG Life Sciences in 2017, and LG Chem’s Life Science headquarters is overseeing the biopharmaceutical business.

In 2019, LG Chem’s Life Science headquarters established a Boston subsidiary (Innovation Center) to introduce innovative technologies in the biopharma field and develop new drugs globally.

Last year, LG Chem decided to acquire U.S. anti-cancer drug developer Aveo Pharmaceuticals, which was finalized earlier this year. 

The acquisition was valued at $571 million. 

In August, LG Group Chairman Koo Kwang-mo visited the Boston office of LG Chem's Life Science headquarters and Aveo Pharmaceuticals to check on the future business.

“It is true that we purchased the land (in Vacaville) but nothing has been decided regarding the construction of a plant,” an official at LG Chem said.