SK Broadband's Spin-off of its Data Center and Subsea Cable-Based International Leased Line Services Business Division

Lee & Ko advised on the spin-off of the business division of SK Broadband Co., Ltd. engaged in the provision of data center services (including CDN services) and international leased line services based on its self-owned submarine cables (with total assets of approximately KRW 2.06 trillion), through which SK Horizon Co., Ltd. (tentative name) will be established.

The Transaction was undertaken to spin off the data center-related business division of SK Broadband Co., Ltd., thereby securing its independence from the other businesses operated by SK Broadband Co., Ltd., and to enhance corporate value by facilitating focused investment in core businesses and increasing sustainable growth potential through the specialization of each business division.

Lee & Ko advised SK Broadband Co., Ltd. throughout the entire process, from the review of the spin-off timeline and transaction structure to the preparation of the spin-off plan and other relevant documents, the resolutions of the board of directors and the general meeting of shareholders, and the transfer of relevant licenses and permits. Over the course of the engagement, Lee & Ko identified and analyzed the various legal issues involved and proposed effective solutions, and has been recognized for its successful advisory role in the Transaction.