SK Innovation will accelerate shareholder-friendly management by purchasing treasury stocks worth one trillion won. This marked the first time that SK Innovation bought large volume of treasury stocks since its inception. The purchase is interpreted as a strong will to achieve its goal to reach the corporate value of 30 trillion won for the first time.
SK Innovation decided to purchase 5,208,333 shares of its common stocks in a board meeting on April 30. This volume accounts for 5.6% of its total issued shares (92,465,564 shares), which amounts to 1 trillion won based on the current share price.
"The decision to buy back treasure shares is part of SK Innovation’s efforts to enhance shareholder value which has been consistently pursued by the company," an SK Innovation representative said. On the other hand, the move is also construed as a card to reaching the goal of achieving 30 trillion won in corporate value declared early last year by the end of this year.
Earlier in July of last year, SK Innovation enhanced shareholder value via active shareholder return by executing its first interim dividend since its foundation. Last year, the company set 8,000 won per share as a dividend last year. 8,000 won was 25% up from 2016.