SKC Accelerates Business Model Innovation... Restructuring Focused on Mobility and Semiconductors

[Asia Economy Reporter Hwang Yoon-joo] The first phase of SKC's Business Model (BM) innovation has been successfully completed. Over the past ten days, SKC finalized the transfer of shares in its chemical business division and completed the sale of its stake in SKC Kolon PI. Through this, SKC is accelerating the second phase of BM innovation focused on mobility, semiconductors, displays, and eco-friendly sectors.

Since signing an agreement last August with Kuwait's PIC (Petrochemical Industries Company) to establish a global joint venture in the chemical business, SKC has been preparing for its establishment. The joint venture's corporate value amounts to a total of $1.195 billion (approximately 1.45 trillion KRW). In early February, SKC spun off its chemical business, transferring 300 billion KRW in borrowings, and on March 10, received $464.6 million (approximately 565 billion KRW) for a 49% stake.

The company name was decided as SK PIC Global. The name reflects the intention of both companies to join forces as strategic partners to expand the joint venture globally and grow it into a world-class PO·PG manufacturer. Both companies have actively considered global expansion. Based on their will and cooperation, the joint venture SK PIC Global will actively pursue the goal of establishing a global PO production capacity of 1 million tons.

On the 6th, SKC completed the sale of its stake in SKC Kolon PI. SKC Kolon PI was a joint venture established in 2008 by SKC and Kolon Industries through the contribution of each company's polyimide (PI) film business in kind. The two companies sold 54.07% of SKC Kolon PI shares to Korea PI Holdings Co., Ltd., an investment purpose company established by Glenwood Private Equity (PE). On the day, SKC received 303.5 billion KRW for a 27.03% stake.

Through this, SKC secured over 1 trillion KRW in investment capacity. SKC plans to improve its financial structure while making additional investments necessary for the second phase of BM innovation centered on mobility, semiconductors, displays, and eco-friendly sectors.

In the mobility business, SKC is expanding investments in next-generation battery materials and technologies. Following the acquisition of KCFT, a global leader in manufacturing copper foil, a core material for electric vehicle batteries, in January this year, SKC is reviewing plans to build global production bases.

In the semiconductor sector, SKC aims to achieve visible business results under the goal of expanding localization while increasing new items. In the eco-friendly sector, investments are increasing in new items that expand social value. In the display sector, SKC is strengthening growth-driving items such as transparent PI films used in next-generation displays.

SKC President Lee Wan-jae said, "Despite numerous difficulties, we have been pushing SKC's deep change with the determination to break free from the well," adding, "Despite recent concerns about global economic slowdown due to COVID-19, we will do our best to ensure that the BM innovation efforts made so far materialize into tangible results."

This content was produced with the assistance of AI translation services.