Korea / Special Sits, Pairs, Index Rebalancing, Clepsydra Capital

Sanghyun Park

I investigate special situations, pairs, and index rebalancing trades in Korea.

Korea / Special Sits, Pairs, Index Rebalancing

SK Innovation's Merger with SK E&S: Bad Timing for SK Innovation and Higher Risks from RCPS

The Unusual Flow Trading Development Caused by SK Innovation's Appraisal Rights Premium

SK Innovation: Considering on Using Its Treasury Shares to Inject Capital into SK On

SK Innovation & SK E&S: Summary of the Controversy Surrounding the Merger Ratio

Digging into Chosun Ilbo's Report on SK Group's SK Innovation & SK E&S Merger Plans

Value-Up Tax Support Revealed by End of June: Local Market Eyes Corporate Tax Cut Beneficiaries

Clepsydra Capital

Investigate special situations, pairs, and index rebalancing trades in Korea.

Event-Driven

<ul>
<li>The merger ratio, not as unfavorable to SK Innovation as feared, shows SK Group acting cautiously amid political and regulatory scrutiny.</li>
<li>SK Inc.'s stake will drop to mid-60s; the 1.2x merger ratio for SK E&amp;S could positively affect SK Innovation's stock price short-term.</li>
<li>Persuading KKR is crucial. SK E&amp;S won't convert ₩3T in RCPS or grant appraisal rights, potentially leading KKR to consider litigation, a significant risk to the merger.</li>
</ul>


The merger ratio, not as unfavorable to SK Innovation as feared, shows SK Group acting cautiously amid political and regulatory scrutiny.
SK Inc.'s stake will drop to mid-60s; the 1.2x merger ratio for SK E&amp;S could positively affect SK Innovation's stock price short-term.
Persuading KKR is crucial. SK E&amp;S won't convert ₩3T in RCPS or grant appraisal rights, potentially leading KKR to consider litigation, a significant risk to the merger.


SK Innovation & SK E&S Merger Official Disclosure: Unexpected Merger Ratio