Korea Business News Agency - NSP NEWS AGENCY.

(Seoul=NSP News Agency) Jiye Kim Journalist = South Korea’s No.1 mobile carrier SK Telecom, announced at a board meeting held on November 2 that it will buy CJ Hellovision, the nation’s biggest cable channel provider. According to the contract, SK takes over a 30 percent stake for 500 billion won in CJ Hellovision from its parents firm CJ O Shopping.

SK Telecom plans to merge SK Broadband and CJ Hellovision, after obtaining the remaining 23.9 percent stake of Hellovision in CJ O shipping through call and put option agreements. The exchange ratio of CJ Hellovision shares and SK Broadband shares is fixed at 1:0.4756554. SK Telecom will own a 75.3 percent stake while CJ O Shopping own 8.4 percent of the merged entity of two firms.

Once the acquisition process is completed, SK Broadband will be amalgamated with a listed company CJ Hellovision, and be backdoor listed. The merger is set to be finalized in April 2016.

NSP News Agency/NSP TV Jiye Kim Journalist, graekim@nspna.com
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