Sells part of its stake in ESR

 

SK holdings sold off 4.6% – 140,000,000 shares – of its equity holding (11%) of global logistics service provider ESR (e-Shang Redwood Group) at 22.50 Hong Kong dollars in a block deal. The sales proceeds were 480 billion won, and the block deal enabled SK holdings to recover its investment principal. Beyond the block deal, SK holdings will continue to hold 6.4% of ESR equities, valued at approximately 740 billion won, based on the closing price as of September 16, 2020. ESR is a global logistics infrastructure provider operating about 270 logistics centers around the world, serving over 200 global customers including Amazon, Alibaba, and ID.com. Prior to its listing, SK holdings preemptively invested in the company in August 2017 and September 2018 winning a great return on their investment. Thanks to the accelerated growth of the e-commerce market after its listing in the Hong Kong stock exchange last November 11, ESR saw its stock price jump around 47% (24.75 Hong Kong dollars as of September 16) when compared with the initial offering price (16.8 Hong Kong dollars). The value of SK holdings’ equity investment increased approximately 2.5 times from the original investment. Given the growth pace of ESR, the remaining equities held by SK holdings are most likely to be valued even more highly. SK holdings intends to keep the virtuous cycle of its investment portfolio rolling by re-investing its cash flow from the listing of SK biopharm, the interim dividend from SK E&S, and the selling of ESR equities in business initiatives that will drive its future growth.

 

 

 

SK magic and SK networks won several prizes in the 2020 IDEA Design Awards Program, one of the global top 3 design award programs. SK magic’s Triple Care Dishwasher won the Gold prize in the Home category. The Triple Care Dishwasher is the world’s first dishwasher product to win the Home category of the IDEA Design Awards. SK magic’s Double Flex Induction Range and All-in-one Oven Range also made it to the finals. Meanwhile, SK networks’ AI-enabled zero-contact unmanned used phone buying machine MINTIT ATM also won the Bronze prize in the Digital Interaction category and was nominated a finalist in the Service Design category. Hosted by the Industrial Designers Society of America (IDSA), the IDEA Design Awards is a globally prestigious international design contest seeing its 40th anniversary this year, naming products of excellence among products recently marketed as well as planned to be released in the next three years in terms of design quality, use of appropriate material, innovation, care for environment, functionality, ease of use, aesthetics, stability, and durability among other factors. SK’s success in this year’s IDEA Design Awards will bring the competitive edge of SK magic and SK networks to the attention of the global community based on technological excellence and differentiated design.

 

 

 

 

Gauss Labs Inc., specialized in industrial AI applications, has been incorporated to spearhead manufacturing innovation with AI-enabled solutions. The company opened its head office in Silicon Valley, USA last month and announced the establishment of a Korean branch by the end of this month. The company will be capitalized at $55 million, to be funded in full by SK hynix by 2022. Gauss Labs Inc. is the first AI-specialized subsidiary incorporated by SK. The company describes AI-enabled semiconductor manufacturing innovation as its mission, leveraging the massive data produced in SK hynix manufacturing sites to develop AI solutions to maximize production efficiency. SK hynix will deploy those solutions to add intelligence to and optimize the entire spectrum of semiconductor production covering process control, yield forecasting, resource maintenance, material monitoring, defect inspection and non-conformance prevention, among other processes.