SK Innovation spins off battery division
SK Innovation officially completed the spin-off of its battery business on 1 October. The now independent battery division of the South Korean company is called SK On and is headed by Jee Dong-seob.
With the announced spin-off, the Korean company wants to enable the battery division to better focus on the fast-growing market for electric cars and their batteries – independently of the other business lines of the listed company.
The plan is to expand global battery production capacity from the current 40 GWh per year to 85 GWh by 2023, to 220 GWh by 2025 and to over 500 GWh by 2030. In addition, it was announced a few days ago that SK Innovation, together with Ford, will invest in the construction of two new sites with assembly and battery plants in Tennessee and Kentucky – with a total capacity of 129 GWh per year.
SKI had already approved the spin-off at its board meeting in early August and confirmed the decision at an extraordinary shareholders’ meeting in mid-September with an approval rate of 80.2 per cent. SK Innovation will manage the new company as a subsidiary and hold 100 per cent of the shares in SK On.