SEOUL, South Korea, July 21, 2022 /PRNewswire/ -- SK Inc., the strategic investment arm of South Korea's SK Group, declared an interim dividend for the fifth consecutive year, demonstrating its steadfast commitment to shareholder return.
SK Inc.
On July 21, the Board of Directors (BOD) of SK Inc. resolved to pay an interim dividend of KRW1,500 per share. Despite uncertainties in business environments, SK Inc. has decided to maintain its interim dividend at KRW1,500 per share, the same as in the previous year. The total amount of the interim dividend payout is on par with last year's level at KRW85 billion.
SK Inc. has announced an interim dividend every year since its first interim dividend payment of KRW1,000 per share in 2018. SK Inc. has increased its annual dividend payment to share investment returns with shareholders as part of its aggressive shareholder return policy. As a result, its annual dividend payment more than doubled from KRW208.7 billion in 2016 to KRW447.6 billion in 2021 in just five years.
Meanwhile, at the ordinary shareholders' meeting held in March 2022, SK Inc. released its plans to enhance shareholder returns, including an annual share buyback, which equates to over 1% of its market cap, through 2025.
SK Inc. continues to invest in its future growth businesses, i.e., advanced materials, biopharmaceutical, green energy, and digital technologies, in an effort to sharpen competitiveness and secure a lead in these promising industries.
Earlier this year in January, SK Inc. invested $350 million in the Center for Breakthrough Medicines (CBM), a Pennsylvania-based cell and gene therapy (CGT) contract development and manufacturing organization (CDMO), to become the second largest shareholder, securing pharmaceutical manufacturing capabilities in the US. Yposkesi, a France-based CDMO specializing in CGT, acquired by SK Inc. in 2021, is set to complete the construction of the second production plant in 2022 with a goal to start volume production in 2023.
In April 2022, SK Inc. acquired Yes Power Technix, the only company in Korea to design and mass-produce silicon carbide (SiC) power semiconductors, establishing an integrated value chain from wafer production to SiC power semiconductor design and production.
SK Inc. also entered the small modular reactor (SMR) market, which draws attention as a safe, carbon-free source of energy, in May. SK Inc. and SK Innovation are in talks with TerraPower, a US-based SMR startup founded by Bill Gates, about potential areas of cooperation.
Meanwhile, as a leader in ESG management, SK Inc. is working towards BOD centered governance. In 2018, SK Inc. became the first holding company affiliated with major conglomerates in Korea to establish the Corporate Governance Charter. In March 2021, the company created ESG Committee and Nomination & Compensation Committee under the board to further enhance the role of BOD. In December 2021, it stipulated the board and the firm's responsibility to communicate with shareholders and other stakeholders in the Charter.
"This year, SK Inc. focuses on identifying growth drivers and securing distinctive competitiveness for respective core businesses." said Sung-Hyung Lee, CFO of SK Inc. "The firm is committed to ensuring business achievements lead to a greater enterprise value."
About SK Inc.
Established in 2007, SK Inc. is the investment holding company of SK Group, South Korea's second largest conglomerate by asset size. Headquartered in Seoul, SK Inc. ranks 129th on the Fortune Global 500 list. The company's investment principles and strategies target environmental, social and governance (ESG) priorities alongside financial returns to drive sustainable growth for its stakeholders and society. The strategic investment areas of SK Inc. include advanced materials, biopharmaceutical, green energy, and digital technologies. It invests in and nurtures the Group's future growth engines.
SK Group seeks to drive innovation and create financial as well as social value for the communities and industries in which it operates. SK Group has over 180 operating companies with a combined KRW 159 trillion in annual revenue as of 2021. For more information on SK Inc., visit www.sk-inc.com/en/.
