SK networks becomes the 2nd largest shareholder of 'Everon', an EV charging company to accelerate its mobility business

SEOUL, South Korea, Jan. 19, 2022 /PRNewswire/ -- SK networks has been engaged in the mobility business through its affiliates 'SK Rent-a-Car' and car management brand 'SpeedMate', and is now making an investment in an EV infrastructure company to prepare for the era of home-based EV charging. Through this, the Company aims to actively seek to reinforce and expand the mobility business.

SK networks (President: Sang Kyu Park) announced on January 20 that it will become the second largest shareholder of Everon, a Level 2 EV Charge Point Operator (CPO) by investing approximately 10 billion KRW.

Everon is one of the three major Level 2 EV CPOs in Korea and currently has a common charging network of around 10,000 chargers. Everon is displaying the most stable operating performance in the industry based on perfect locations for Level 2 charging such as multi-unit housing areas and its own control system using a car sharing solution. Its high future growth potential is also judged favorably with its key capabilities related to charger development and manufacturing technology. Everon is expected to use additional capital made available through the investment of SK networks and others to expand its charging infrastructure and achieve installations of more than 25,000 chargers by 2023, which will bring it to the first place in the industry in terms of charger network volume.

As SK networks emphasized its transition to a business-type investor through the new year's address, this investment was decided in order to facilitate the evolution of the mobility business, one of the Company's key business areas, and also in terms of future industrial growth potential and ESG management orientation.

While efforts are being made across the globe to cope with the climate change crisis and promote ESG values, more and more eco-friendly vehicles are coming to the market in a fast growing trend which in turn calls for the support of charging infrastructure. EV charging at home or workplace where people spend most of their time is expected to become more popular and the government is also implementing a plan to install 500,000 units of Level 2 chargers by 2025 in collaboration with civil institutions. It is judged by SK networks that Everon's role will be enlarged in the course of EV market change and infrastructure expansion. Therefore, this investment is a strategic choice made to participate in the domestic EV charging facility expansion and create ESG management results by making a contribution in carbon emission reduction.

In addition, synergies will be sought connected with mobility businesses of the SK networks headquarters and its affiliates including SK Rent-a-Car, SpeedMate and Cartini (brand name: TIREPICK). SK Rent-a-Car, in particular, is in the process of transferring all 200,000 vehicles into eco-friendly ones by 2030. It is also building the largest EV rental house (SK Rent-a-Car EV Park) in the country and rolling out various services to support EV charging including EV all-in-one, which altogether is likely to increase the collaboration potential with Everon. Furthermore, SK Rent-a-Car has made a series of investments since last year in mobility companies with high future growth potentials including Soft Berry, Team O2, Eva and Carang. This will add more speed to further promotion of mobility business at the enterprise level.

Through this investment in Everon, SK networks plans to seek mobility business expansion opportunities, while at the same time actively searching for prospective investment projects that have global market competitiveness in addition to future businesses linked with the existing businesses.

Executive Vice President of SK Networks, Ho-jeong Lee said, "We hope this investment would facilitate accelerated future mobility business development. We also look forward to results from the investment made in Everon as well as business synergies between the headquarters and affiliates," and added, "We will further build up a sustainable management foundation as a business-type investor by getting hold of global growth areas and reinforcing investment capabilities."

SOURCE SK networks