SK Rent-a-Car Acquired by Hong Kong-Based Private Equity Firm 'Affinity'

SK Rent-a-Car has been sold to Affinity Equity Partners, a Hong Kong-based private equity fund (PEF) management firm.

According to the investment banking (IB) industry on the 16th, SK Networks has selected Affinity as the preferred negotiation partner and is expected to sign a memorandum of understanding (MOU) for the sale of SK Rent-a-Car soon.

After competing with Glenwood PE and IMM PE, Affinity, which offered the highest price, was selected as the buyer. The acquisition price is around 800 billion KRW based on 100% of the shares held by SK Networks. Including the company's debt of 2 trillion KRW, the total enterprise value reaches 3 trillion KRW.

SK Rent-a-Car is the second-largest player in the domestic rent-a-car market, following Lotte Rental. In January 2019, SK Networks acquired a 42% stake in AJ Rent-a-Car for 300 billion KRW, then integrated it with SK Networks' rent-a-car business division in the same year, and changed the company name to SK Rent-a-Car in 2020.

SK Rent-a-Car recorded consolidated sales of 1.4028 trillion KRW and an operating profit of 122 billion KRW last year.