SK Innovation to Absorb Subsidiary SKIET... Reorganizing Battery Separator Business Under Direct Control

KOSPI-listed SK Innovation is embarking on a business restructuring by absorbing and merging its battery separator subsidiary, SK IE Technology (SKIET).

On the 25th, SK Innovation and SKIET announced that they each held board of directors meetings and resolved the agenda for SK Innovation to absorb and merge with SKIET. Through this merger, SKIET will be dissolved, and SK Innovation will remain as the surviving entity, fully succeeding SKIET's operations.

The merger ratio was calculated at 1 to 0.1174540. SKIET common shareholders will be allocated 0.1174540 shares of SK Innovation common stock for each share they own, and for this purpose, SK Innovation plans to issue a total of 4,481,300 new shares.

The two companies explained that the purpose of this merger is to secure financial stability and preemptively mitigate business and financial risks, while simultaneously improving operational efficiency through business restructuring. In particular, the plan is to establish a separator production and supply system under a stable financial foundation by directly integrating the separator business into SK Innovation, and to maximize synergy with SK On's battery production system.

SK Innovation will proceed with a small-scale merger procedure, and plans to finalize the merger on January 1, 2027, following the approval of SKIET's general shareholders' meeting and the exercise period for appraisal rights (November 24 to December 14).