DETROIT, SEOUL, South Korea and HANNOVER, Germany, Jan. 10, 2012 /PRNewswire/ -- SK Innovation and Continental Corporation announce at the Detroit Motor Show today their intention to team up for powering electric vehicles worldwide: Both corporations sign a Heads of Agreement that describes the formation of a joint venture with which both companies want to develop, manufacture and market Lithium Ion battery systems for automotive applications. Due to the worldwide regulatory efforts in reducing carbon emissions and changing consumer needs, automobiles will become increasingly dependent on battery systems over the next 10 years.
SK Innovation and Continental will have 51% and 49% of ownership respectively. The initial JV operations will be based in Germany and Korea; and the management team will be comprised of executives from both companies. The business will serve automotive OEMs globally. The new joint venture is subject to the completion of JV agreements, which are expected to be achieved by midyear 2012.
The complete news release issued earlier today about this announcement can be found here.
About SK Innovation
Founded in 1962 as Korea's first oil refiner, SK Innovation is one of the world's leading energy and petrochemical companies with sales of USD 38.5 billion in 2010. Based on its R&D capabilities, SK Innovation is focusing on lithium-ion batteries for electric vehicles, I/E (Information Electronic) materials for IT devices, and E&P (Exploration & Production) business, while its subsidiary companies, SK Energy(No.1 refining company in Korea), SK Global Chemical(global top-tier chemical company) and SK Lubricants(global leader in the high-tech & hi-end lubricant market), are successfully running business through their own vision and strategy. SK Innovation established the lithium ion battery business in 1996 and currently supplies leading global automobile manufacturers including Daimler and Hyundai.
About Continental AG
With sales of euro 26 billion in 2010, Continental is among the leading automotive suppliers worldwide. As a supplier of brake systems, systems and components for powertrains and chassis, instrumentation, infotainment solutions, vehicle electronics, tires and technical elastomers, Continental contributes to enhanced driving safety and global climate protection. Continental is also an expert partner in net- worked automobile communication. Continental currently has approximately 164,000 employees in 45 countries.