SK considers withdrawal from solar power business

[THE INVESTOR] SK Group, the nation’s third-largest conglomerate, is considering selling off its money-losing solar power business that has been conducted by its semiconductor and display material unit SKC Solmics.

SKC Solmics confirmed the sell-off plan in a regulatory filing on Aug. 9.

 

Industry watchers predict the company could sell the business to a third party or just withdraw from the market.

SKC Solmics entered the solar power market in 2010, producing wafers for solar batteries. Despite its growth in chip material business, it has been losing money in the solar power business.

Last year, the company posted a net loss of 52.4 billion won (US$47 million) in the solar power business alone despite its upbeat chip material sales that saw 11.3 billion won of net profit.

As of last year, 104 employees worked at the unit.

SK Innovation, the group’s chemicals unit, also suffered a 67 billion won loss after US solar power battery maker HelioVolt went bankrupt. The company had invested US$76 million in the firm.

By Lee Ji-yoon (jylee@heraldcorp.com)