South Korea’s SK Lubricants is planning an initial public offering (IPO) in May, parent SK Innovation announced. SK Lubricants produces and exports Group III base oils to more than 140 customers in 50 countries, as well as finished lubricant products to more than 60 countries, including Russia, China and the U.S. Its vision is to become a top global player in the lubricant industry.
SK Innovation plans to sell about 10.2 million shares worth about KRW 1.25 trillion (USD 1.17 billion) in its wholly-owned subsidiary SK Lubricants as part of the IPO, it said in a regulatory filing.
The value of the stakes was calculated based on the top price of a preliminary range of KRW 122,000 (USD 115) per share.
SK Lubricants will also issue about 2.6 million new shares in the IPO, SK Innovation said. SK Innovation expects to retain a 70% stake in SK Lubricants after the listing. The Korean conglomerate also owns the country’s largest oil refiner SK Energy.
SK Innovation plans to use the funds from the IPO to secure future growth for the company and its subsidiaries, a company spokesperson said.