SKC Raises 11.7 Trillion KRW to Accelerate Commercialization of Glass Substrates

SK Group's chemical and material company SKC finalized its rights issue financing plan yesterday.

The company plans to raise approximately 11.671 trillion won, about 5.3 billion CNY, by issuing 11.73 million new shares.

The price for this rights issue is set at 99,500 won per share. The scale of fundraising has expanded from the original plan, mainly thanks to the company's recent performance recovery and the proactive communication of the management with global institutional investors.

According to the fund usage disclosed by SKC, **approximately 58.96 billion won will be specifically allocated to the semiconductor glass substrate business. This fund will be led by its U.S. subsidiary Absolics,** aiming to secure the business investment needs for the next three years.

In terms of core business progress, Absolics has made substantial breakthroughs. **Reports indicate that the company has begun supplying prototypes for non-embedded glass substrates needed for next-generation network semiconductors to an American communication semiconductor enterprise.** This is Absolics' first foray into the non-embedded sector, focusing on reducing technical barriers to shorten the customer certification cycle. The product is currently undergoing customer reliability assessment, and if it goes smoothly, mass production preparation could start by the end of this year.

For investors, glass substrates are seen as a key variable in the advanced packaging era of AI. Compared to traditional organic substrates, glass substrates have lower warp and higher circuit compatibility, which can better support highly integrated chips.

SKC's large-scale financing marks its determination to transform from a chemical company to a semiconductor material enterprise. The company currently faces not only the challenge of technological innovation but also the competition with global giants like Intel for the first mass production position. The next focus is on the reliability assessment results between Absolics and American clients. If the prototype tests are successful, SKC will hope to achieve the world's first commercial mass production of glass substrates by the end of 2026.