SK Inc. to Sell Controlling Stake in SK Siltron to Doosan Corp. for W2.3 Trillion
Key Takeaways
- •SK Inc.'s board approved the sale of a 70.6 percent stake in SK Siltron to Doosan Corp. for approximately 2.3 trillion won ($1.6 billion), with a formal share purchase agreement expected to follow.
- •SK Siltron is the world's third-largest producer of 300-millimeter silicon wafers, a critical substrate material in semiconductor chip manufacturing.
- •Doosan is anticipated to separately negotiate the acquisition of Chairman Chey Tae-won's remaining 29.4 percent stake, valued at roughly 900 billion won, which would secure full ownership of SK Siltron.
- •SK intends to allocate sale proceeds toward reinforcing its balance sheet and financing new growth businesses as part of a broader effort to streamline its holdings.
- •The transaction marks Doosan's most significant entry into the semiconductor ecosystem, expanding beyond its established businesses in construction equipment, power plants, and industrial machinery.
SK Inc. has agreed to sell its controlling stake in SK Siltron, a major semiconductor wafer manufacturer, to Doosan Corp. for approximately 2.3 trillion won ($1.6 billion), as the conglomerate restructures its portfolio and redirects capital toward new growth businesses.
SK's board of directors approved the sale of a 70.6 percent stake on Friday, paving the way for the two companies to sign a formal share purchase agreement. Doosan was selected as the preferred bidder in December.
The stake being divested consists of 51 percent held directly by SK and an additional 19.6 percent secured through total return swap agreements. SK Group Chairman Chey Tae-won holds the remaining 29.4 percent, which was not included in Friday's board approval.
Doosan is expected to pursue a separate agreement to acquire Chey's stake, which would grant the industrial group full ownership of SK Siltron. That holding is valued at an estimated 900 billion won.
Founded in 1983, SK Siltron joined SK Group in 2017 and has since become an integral part of the conglomerate's semiconductor supply chain. The company is one of the world's largest producers of 300-millimeter silicon wafers — the thin discs used as substrates in semiconductor chip manufacturing — and ranks third globally in the market, according to SK. The global silicon wafer industry is highly concentrated, with Japan's Shin-Etsu Chemical and SUMCO alongside GlobalWafers of Taiwan ranking among the top suppliers, making ownership of a major wafer producer a strategically significant position in the semiconductor value chain.
SK stated that proceeds from the sale will be used to strengthen its balance sheet and finance future growth businesses. SK Group has been streamlining its holdings across multiple subsidiaries, part of a broader trend among South Korea's family-controlled conglomerates, known as chaebols, to sharpen their focus on core competencies amid shifting global technology competition.
For Doosan, the transaction provides control of a significant supplier in the semiconductor materials sector, advancing the industrial group's expansion into chip-related and advanced manufacturing businesses. Doosan's traditional portfolio has centered on construction equipment, power plants, and industrial machinery, and the acquisition of SK Siltron would mark one of its most significant moves into the semiconductor ecosystem.
Source: Korea Herald