SKT shareholders green light split - Mobile World Live

SKT shareholders green light split

12 OCT 2021

SK Telecom (SKT) shareholders voted overwhelmingly to split the company into two parts, approving a proposal to spin off its semiconductor and e-commerce operations from its main telecoms business.

At an extraordinary general meeting today (12 October) the move to create a holding company named SK Square was approved by 99.95 per cent of shareholders.

In a translated statement, CEO Park Jung-ho (pictured) explained: “The main purpose of the spin-off is to maximise shareholder value, and after the spin-off, we will write a quick success story with a clear identity of communication and investment.”

The split will happen on 1 November, with the existing company to be re-listed as SKT and SK Square on 29 November after a period of stock trading suspension (26 October to 26 November).

As a semiconductor and ICT investment company, Park said it aims for SK Square to boost its net asset value nearly threefold to KRW75 trillion ($62.5 billion) by 2025.

SKT will focus on AI and digital infrastructure services, with plans to increase annual sales from KRW15 trillion in 2020 to KRW22 trillion by 2025.

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Joseph Waring

Joseph Waring joins Mobile World Live as the Asia editor for its new Asia channel. Before joining the GSMA, Joseph was group editor for Telecom Asia for more than ten years. In addition to writing features, news and blogs, he...

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