Lee & Ko and Kim & Chang have advised SK Innovation, Korean conglomerate SK Group’s energy and chemical arm, on its KRW859.26 billion (USD633.4 million) acquisition of 30% in lubricant unit SK Enmove, incorporating it as a 100% subsidiary.
“Lee & Ko provided comprehensive legal advisory services on all aspects of the transaction, including overall scheduling, contract negotiation, disclosures and various legal issues related to the deal,” Joohyun Oh, the lead partner for this transaction at Lee & Ko, told Asia Business Law Journal.
SK Innovation, which currently owns a 70% stake in SK Enmove, approved the acquisition at a board meeting on 25 June. The transaction with Eco Solution Holdings, a special purpose company established by IMM Credit Solutions for an equity investment in SK Enmove, will take place on 2 July and SK Innovation will own 100% of the unit.
Although this transaction meant IMM Credit Solutions has exited its interest in SK Enmove, it reinvested a portion of the recovered funds via an acquisition of exchangeable bonds issued by SK Innovation.
M&A partner Sung Min Kim and Oh were the lead Lee & Ko partners for SK Innovation’s purchase. Capital markets partners Jun Woo Cho and Jiseon Kim participated in the issuance of SK Innovation’s exchangeable bonds.
Kim & Chang confirmed it had advised IMM Credit Solutions, a Korean private equity fund and the financial investor in SK Enmove, on this transaction but declined to comment further on its involvement.
