This article was posted on the ChosunBiz MoneyMove (MM) site at 3:09 p.m. on Oct. 1, 2025.
SK Innovation's sale of its equity in the Boryung liquefied natural gas (LNG) terminal in South Chungcheong Province is gaining momentum. All four bidders selected as qualified finalists (shortlist) entered the main bidding, and SK Group is said to have decided to quickly choose a preferred negotiation partner. There are also reports that SK Group is intensifying reviews with the goal of naming the preferred negotiator before the Chuseok holiday.
According to investment banking (IB) industry sources on the 1st, Macquarie Asset Management, IMM Investment, the Caisse de dépôt et placement du Québec (CDPQ), and a No & Partners–Korea Investment & Securities consortium participated in the main bid that ended the previous day for the sale of 50% equity in the Boryung LNG terminal.
The four candidates early on secured acquisition financing syndicates and have been conducting due diligence. Macquarie is reported to have partnered with Woori Bank and Samsung Securities; IMM Investment with Shinhan Bank, NH Investment & Securities, and Kiwoom Securities; CDPQ with Korea Development Bank and Hana Securities; and No & Partners–Korea Investment & Securities with Meritz Securities and KB Securities.
The asset for sale is SK Innovation's 50% equity stake in the Boryung LNG terminal. The remaining 50% is held by GS Energy. Net worth is 314.1 billion won, and total liabilities are about 1.2778 trillion won.
SK Innovation is said to be aiming to select the preferred negotiator before the Chuseok holiday if possible. The price is expected to be decided around 600 billion won, and since all four candidates are motivated, there is talk that the sale price could exceed 600 billion won.
However, some analyses say the 600 billion won price is close to a "psychological red line." If the 50% stake is priced at 600 billion won, the 100% equity value would reach 1.2 trillion won. Adding net debt of 1.08 trillion won gives an enterprise value (EV) of 2.28 trillion won. Dividing that by last year's earnings before interest, taxes, depreciation and amortization (EBITDA) of 180 billion won yields an EV/EBITDA multiple of 12.7. Considering infrastructure funds typically target an internal rate of return (IRR) of 8%–10%, industry sources say an EV/EBITDA of 12.7 represents a corporate value that would make it difficult for infrastructure funds to achieve their target returns.
If the sale of the Boryung LNG terminal is completed, SK Innovation is expected to catch its breath from financial burdens. Earlier, SK Innovation received 3 trillion won as convertible preferred stock (CPS) secured by LNG power plants, and 2 trillion won was invested into its subsidiary SK On via a price return swap (PRS). Both deals were handled by Meritz Financial Group.