SK Inc. takes its SK Materials stake to 100 percent
SK Inc. has absorbed SK Materials, which was a 49.1-percent-owned subsidiary of the company.
The transaction, effective Dec. 1, will allow for the materials company to make large investments related to semiconductors and electric vehicle batteries.
“The move is intended to rev up materials for EV battery, power semiconductor, general chips and display through swift investment with an aim of getting an upper hand,” the SK Inc. said in a statement.
The move is aligned with SK’s decision in September to invest 5.1 trillion won ($4.3billion) into advanced materials by 2025.
“SK Materials will be able to readily receive investment from SK Inc. compared to the past where it required a round of steps,” said a spokesperson at SK Inc.
SK Inc. hopes that the change in structure could help SK Materials and its related units work together to create synergy.
The company has acquired around 30 percent of Wason, a Chinese copper foil maker, for 370 billion won. In the semiconductor field, SK Inc. invested 26.8 billion won into Yes Powertechnix to acquire a 33.6-percent stake. Yes Powertechnix is the only Korean company capable of producing power chips using silicon carbide — also known as SiC power semiconductors.
SK Inc. cited the SiC semiconductors as an area of focus because the majority of electric vehicles are expected to adopt the newer type of chip by 2025 due to their higher energy efficiency and voltage power compared to conventional silicon-only chips
Another focus will be the gases used in the manufacturing of semiconductors. SK Inc. plans to pump 1 trillion won with an aim of doubling the capacity of its production lines making nitrogen trifluoride and silane.
It will also try to enter new business areas, such as photoresist tailored for extreme ultraviolet lithography machines, advanced chip manufacturing equipment.
BY PARK EUN-JEE [firstname.lastname@example.org]