Equity Analysis /
South Korea

KR : Electrical Components - US EV incentives and SK IET IPO

    John Park
    CGS-CIMB
    12 April 2021
    Published by

    While there may be some profit-taking on SKI on the news of settlement with LGC, we recommend staying invested in SKI before SK IET’s IPO in May. US Mar EV sales growth (+161% yoy) and Biden’s US$100bn new EV rebates should boost SKI’s battery value, with its 22GWh US plant in 2023. The value of SKI's battery separator unit’s IPO could be higher than current market expectations. We prefer SKI and SKC in the near term.