Hahn & Co., one of the largest private equity firms in Korea, announced Tuesday it had signed a definitive agreement with SKC, a semiconductor material arm under SK Group, to acquire its fine ceramics business for 360 billion won ($267 million).

The company said SKC is a major player in the semiconductor industry with its fine ceramics business producing high-purity quartz and silicon carbide consumable materials crucial for manufacturing advanced chips.

“SKC’s fine ceramics business is a market leader with attractive expansion opportunities in the global semiconductor industry. This acquisition reaffirms Hahn & Co.’s continued conviction in Korea,” Hahn & Co. CEO Hahn Sang-won said in a statement.

In July, Hahn & Co. and SKC signed a memorandum of understanding regarding the sell-off of the fine ceramics business unit. According to SKC, its affiliate SK Enpulse which operates the division, finalized the sales decision through a board meeting held Monday.

The acquisition is expected to close in January, following a shareholders’ meeting held by SKC.

Hahn & Co., founded in 2010, has been expanding its investment portfolio with over $28 billion invested to date. The buyout of SKC's fine ceramics business marks its 35th acquisition in the country. In December, the firm completed the acquisition of SKC’s industrial film business for 1.6 trillion won.