The field that SK Corp. selected as the 4 core business. SK Group is planning to invest intensively in the four core businesses. Photo SK
‘Advanced materials, green, bio, digital.’
On the 24th, SK Corp., the holding company of SK Group, announced on the 24th that it has set four business as future growth engines and reorganized. Accordingly, SK Corp. changed the name of the existing investment 1, 2, 3 and I Cube center to advanced materials, green, bio, and digital investment centers. An official of SK Corporation explained, “The goal is to engage in full-scale implementation of the four core businesses and to have a portfolio with good future growth potential.”
It is also interpreted that the mergers and acquisitions (M&A) of SK Group, which cleared the corona 19 crisis in the business world, will be on track this year. SK and SK E&S invested 1.6 trillion won earlier this month to buy a 9.9% stake in Plug Power, a US hydrogen fuel cell company. The two companies each invested 800 billion won.
The newly established SK Corporation Advanced Materials Investment Center is in charge of the semiconductor and battery material business. Battery materials are attracting attention as future foods following semiconductors. In order to proactively respond to the rapid growth of the market, the Advanced Materials Investment Center will focus on reinforcing a portfolio focused on high-value-added advanced materials through hiring doctoral specialists in chemistry and new materials and polymers and investments centered on key technology companies.
The Green Investment Center aims to secure new growth engines through eco-friendly energy solution businesses such as new and renewable energy and energy saving business models. This is a strategy to lead SK Group’s response to RE100 (100% renewable energy). The most striking thing is the hydrogen business promotion team under the direct control of SK Corporation’s CEO. The hydrogen business promotion team consisted of 20 energy experts from affiliates such as SK E&S and SK Innovation. It is said that the hydrogen business promotion team decided to purchase a stake in Plug Power, which was concluded earlier this year.
The Bio Investment Center plans to secure business capabilities ranging from synthetic new drugs to new bio drugs, focusing on new drug development and consignment production (CMO). An official of SK Corp. said, “We will also strengthen innovative new drug business, such as a new drug for decomposing target proteins, which is in progress with US bio-company Roivant.”
The digital investment center will target the global new technology market such as artificial intelligence (AI) and autonomous driving. The eco-friendly mobility business and strengthening of digital infrastructure are also one of the business goals. SK Co., Ltd. president Jang Dong-hyun said, “This year, we will create attractive corporate values that give empathy and trust by promoting the four core businesses in earnest.”
Taewon Choi, Chairman of SK
The reorganization is evaluated to reflect the ESG (environmental, social, governance) management stance emphasized by Chairman Tae-won Choi. In his New Year’s address, Chairman Choi said, “Climate change and pandemic disasters destroy the weakest places in society first,” and said, “Companies can no longer get out of this problem.” This means that companies should actively work on solving social problems.
Reporter Kiheon Kang [email protected]