SK Innovation (096770) will absorb its listed subsidiary SK IE Technology, issuing 4,481,300 new shares at an exchange ratio of 0.1174540 to one, the company said in a filing on Tuesday, a day before the merger contract was signed.
The merger prices were set at ₩125,862 for SK Innovation and ₩14,783 for SK IE Technology, each the average of a one-month volume-weighted close, a one-week volume-weighted close and the 24 August close, with no premium or discount applied. No external valuation was required.
The filing makes definite an answer SK Innovation (096770) gave the exchange on 10 June. Because the new shares are about 2.6% of those already outstanding, the deal qualifies as a small-scale merger: the shareholder meeting is replaced by a board resolution set for 24 November, and SK Innovation holders get no appraisal rights.
SK IE Technology booked ₩261.9bn of sales in FY2025, equal to 0.33% of the ₩80,296.1bn SK Innovation reported in revenue that year.
A special committee of six independent directors, formed on 27 May, met six times before reporting that the purpose, terms and process were sound. SK IE Technology lost ₩211.4bn in FY2025, and its own shareholders must still approve the merger by special resolution.
The parties may terminate or re-cut the deal if appraisal claims from SK IE Technology holders exceed ₩350bn. The merger takes effect on 1 January 2027 and the new shares list on 18 January.
kstock reads DART every morning and writes up what moved — the contract, the buyback, the number that does not add up. The daily post and a Saturday roundup, by email.
| Symbol | Last Price |
|---|---|
| 096770SK Innovation Co., Ltd. | ₩138,300 +5.7% |