SEOUL-- Dongwon Industries Co. said Thursday it has signed an initial agreement with Boryung Partners over its possible takeover of Boryung Biopharma Co.

Under the memorandum of understanding, the canned tuna maker is set to conduct due diligence on vaccine maker Boryung Biopharma and receive preferred negotiation rights, depending on the outcome of the due diligence.

Boryung Partners holds over 60 percent stake in Boryung Biopharma, which developed the first oral typhoid vaccine in South Korea.

Dongwon Industries has recently been engaging in aggressive merger and acquisition deals in a bid to expand business to other areas. Dongwon had participated as the sole bidder in the acquisition of McDonald's Korea and is currently negotiating the price.

Source: Yonhap News Agency