SK Innovation has decided to break off its negotiations to sell its wholly owned subsidiary SK Lubricants.

“The company had proceeded with negotiations to sell shares of its subsidiary SK Lubricants, but it decided to stop the negotiations in the end, the company said in an official announcement released on 15 June 2015. No reason was given for the decision.

It was reported earlier that MBK Partners was in negotiations with SK Innovation to purchase SK Lubricants. The speculation is that the reason for the impasse is the price, which is reported to be in the range of KRW 2.5 to 3 trillion (USD 2.2 to 2.6 billion).

Accordingly, SK Innovation is expected to focus on the initial public offering of SK Lubricants.