General Public Offering for Forfeited Shares on 14th and 15th Records 67.8:1 Competition Ratio for General Investors
SK Innovation attracted 10 trillion KRW in its rights offering general public subscription, drawing strong investor response.
SK Innovation announced on the 15th that it received subscription deposits totaling 9.5584 trillion KRW for the 141 billion KRW general public subscription conducted on the 14th and 15th of this month targeting general investors. The subscription competition rate was 67.8 to 1. This offering was conducted for 1,010,336 unsubscribed shares.
Earlier, SK Innovation recorded a subscription rate close to 90% (87.7%) by receiving subscriptions for 7,179,664 shares, including 295,806 oversubscriptions, out of the 8.19 million shares offered in the subscription conducted on the 11th and 12th of this month targeting the employee stock ownership association and existing shareholders.
Since the issue price per new share was 139,600 KRW, SK Innovation secured approximately 1 trillion KRW in funds early on from the employee stock ownership association and existing shareholders.
SK Innovation also successfully completed the general public subscription for the unsubscribed shares and raised an additional 141 billion KRW, securing a total of 1.14 trillion KRW through this rights offering.
SK Innovation is recognized in the market as a company with a stable yet high-growth portfolio, owning subsidiaries in refining, chemicals, electric vehicle batteries, and lubricants. These factors are believed to have positively influenced the subscription for the rights offering among employees, existing shareholders, and general investors.
SK Innovation has expressed its commitment to proactively securing future growth engines by allocating more than 70% of the raised funds, amounting to 827.7 billion KRW, to investments in future energy sectors and the establishment of research and development (R&D) infrastructure to support these efforts.
SK Innovation has invested in specialized companies such as the small modular reactor (SMR) specialist ‘TerraPower’ and waste gasification specialist ‘Fulcrum BioEnergy.’ Regarding R&D infrastructure, it plans to establish a campus in Bucheon, Gyeonggi Province, to strengthen battery and new business capabilities.
The remaining 315.6 billion KRW of the raised funds from the rights offering will be used to improve the financial structure. At the time of announcing the rights offering in June this year, the amount was planned at 350 billion KRW, but due to a reduction caused by changes in the issue price, the amount allocated for debt repayment was reduced while maintaining the initial planned scale for future energy investments, in accordance with the basic policy and commitments made to investors. The SK Innovation new shares issued through this rights offering will be listed on the KOSPI market on the 5th of next month. Originally scheduled for the 4th, the listing was postponed by one day due to the securities market closure on October 2nd, which was designated as a temporary holiday.
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