Lotte Samkang, an ice-cream maker that is part of South Korean conglomerate Lotte Group, will pay KR87bn (US$780.3m) to buy Pasteur Milk, the eighth-largest dairy products manufacturer in the country.

Seoul-based Pasteur is best known for its low-temperature sterilised milk. It has one plant and nine sales offices nationwide. Pasteur’s major products include milk, milk powder and yoghurt.

“We will keep the brand Pasteur and continue to produce its current products in the near future,” a Lotte Samkang spokesman said. Details around possible investment, new product development and production capacity are still in discussion, the spokesman said.

“We are very optimistic about the market and planning to increase our market share,” the spokesman added.

Lotte Samkang retreated from the domestic dairy products market for over three years by spinning off Purmil, formerly known as Lotte Milk, to focus on its major businesses such as ice cream and edible oil.