[Exclusive] SKC's Joint Venture Investment with UK Nexion Rejected... Scheduled for Approval at Next Board Meeting

[Asia Economy Reporter Lee Seon-ae] SKC's investment proposal for a joint venture with UK-based silicon anode material producer Nexcion, aimed at entering the secondary battery (battery) anode material market, was rejected at the board meeting.

According to SKC on the 30th, the investment proposal for the 'SKC-Nexcion Joint Venture' was rejected due to opposition from board members at the board meeting held the previous afternoon. A company official stated, "The investment proposal for the anode material joint venture was rejected," adding, "There were differing opinions due to various reasons including the timeline."

SKC plans to review and supplement the investment proposal and present it again at the next board meeting.

As SKC plans to collaborate with global companies to become the world's number one mobility materials company with a corporate value of 30 trillion won by 2025, Nexcion is the partner they have joined forces with to enter the anode material market. Nexcion is a producer of silicon anode materials for next-generation lithium-ion batteries. They have secured technology that dramatically increases battery capacity by utilizing silicon, which has more than 10 times the lithium storage capacity compared to carbon-based materials.

Earlier, on the 24th, SKC held the 'SKC Investor Day' and announced, "We will enter new material businesses such as cathode and anode materials for batteries and the world's first hyper-performance computing glass substrates, aiming to generate over 80% of profits from mobility materials by 2025." To achieve this, they presented a strategy to secure technology through collaboration with world-class companies and commercialize it as a core business.

SKC plans to establish a joint venture with Nexcion and further aims to list this company on the US Nasdaq market. An internal company source said, "If the investment proposal is finally approved, we will proceed with establishing the joint venture and ultimately list it on the Nasdaq market."

SKC also intends to collaborate with global companies to enter the cathode material market. Through its subsidiary SK Nexilis, which produces copper foil used in batteries, SKC plans to expand its business into cathode and anode materials, aiming to become a global materials company. By 2025, they plan to grow the secondary battery materials business, including copper foil, anode, and cathode materials, from the current 400 billion won to 4 trillion won, a tenfold increase.

Meanwhile, SKC denied plans to invest in a joint venture with US semiconductor equipment company Applied Materials (AMAT) to enter the GaN power semiconductor market. However, an internal company source hinted, "Ahead of the board meeting scheduled for the afternoon of the 29th, discussions were held regarding two joint venture investment proposals." The market is also raising the possibility of market entry.

SKC has a strong commitment to new material businesses that can significantly improve the performance of secondary batteries, such as silicon anode materials and high-nickel cathode materials. The reason for focusing on GaN power semiconductors is that, due to their material properties, they are heat-resistant and can withstand high voltages better than silicon semiconductors. For this reason, they are widely used in electric vehicle batteries, fast chargers, and 5G communication equipment. In particular, applying GaN power semiconductors to battery charge/discharge devices, which previously used silicon semiconductors, increases charging and discharging efficiency and enhances production volume per space due to equipment miniaturization. GaN power semiconductors can be applied not only to batteries but also to various fields such as LiDAR used in autonomous vehicles, wireless charging, data centers, and communications.

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