SK Group has decided to sell a 1.33% equity stake in Vietnam's largest group, Vingroup, for about 29.6 billion won, which is one eleventh of the acquisition price.
According to Reuters and the local Vietnamese media VN Express on the 12th (local time), Vingroup noted in a disclosure that SK is selling 50.8 million shares of Vingroup held through its subsidiary 'SK Investment Vina II.'
As a result of this sale, SK's equity stake in Vingroup will decrease from 6.05% to 4.72%. The expected sales price is about 508 billion dong (approximately 29.6 billion won). The sale period is from the 16th to the 14th of next month.
As of the end of 2023, SK was among the major shareholders with the fourth largest equity stake in Vingroup, but after the sale, it will be removed from the list. The director appointed to represent SK on Vingroup's board has requested to resign.
Previously, SK had acquired about 6.1% of Vingroup's equity for $1 billion (approximately 1.47 trillion won) in May 2019, and the expected sale price is estimated to be about 9.2% of the acquisition price. For several years, Vingroup has faced declining financial conditions and a significant drop in stock prices due to losses at its subsidiary electric vehicle company VinFast.
Meanwhile, SK Group has been undergoing intensive restructuring since last year. In November of last year, it sold a 5.05% equity stake in the Vietnamese food and beverage and distribution company Masan Group for about $200 million (approximately 295 billion won), and it has sold or is in the process of selling assets including SK Specialty and SK Communications.