SKC

● Signed a business transfer agreement with private equity firm Affirma Capital for KRW 95 billion

​● ​Prioritizing financial stability this year by timely liquidating non-core businesses to secure cash

​● ​Accelerating business restructuring with a focus on high-value-added products such as Absolics’ glass substrates

SKC (CEO Woncheol Park) is divesting the thin film business of SK nexilis, its EV battery materials subsidiary, to private equity firm Affirma Capital. 

After its Board of Directors (BoD) meeting on November 13, SK nexilis announced its decision to transfer its thin film business, which supplies FCCL (Flexible Copper Clad Laminate) for displays, to Affirma Capital for KRW 95 billion. The two companies signed a business transfer agreement immediately after the BoD meeting. SK nexilis plans to complete the necessary procedures to finalize the transaction by February next year.

FCCL (Flexible Copper Clad Laminate) is a key electronic material for transmitting video signals in display products such as smartphones and TVs. It is widely used in Chip On Film (COF) applications for displays. By leveraging its advanced thin-film manufacturing technology, SK nexilis has played a significant role in advancing ultra-high-definition display products.

Affirma Capital, the acquirer of SK nexilis’ thin film business, is recognized for its expertise in carve-out strategies, particularly acquiring non-core business units from conglomerates and enhancing their enterprise value. Further investment is expected post-acquisition to enhance the competitive edge of the thin film business.

Earlier this year, SKC prioritized financial stability and actively pursued the timely liquidation of non-core businesses. These efforts secured over KRW 1 trillion in cash, easing the financial burden on its subsidiaries. In September, SKC also fully repaid the acquisition financing by injecting KRW 700 billion into SK nexilis through a paid-in capital increase.

Building on its strengthened financial stability, the company is accelerating business restructuring focused on high-value-added products, including Absolics’ glass substrates,. The glass substrate business aims to commence mass production for customers next year, while the semiconductor materials business is working to enhance its competitiveness through ISC, a semiconductor test solution provider.

“We will utilize the proceeds from the sale of the thin film business to strengthen the competitiveness of our core businesses,” an SKC official stated, adding, “Our ongoing efforts to enhance financial stability through the sale of non-core businesses will prepare us for a full-scale rebound starting from next year.” [End]