SK Innovation was awarded the BBB+ rating by the global
credit rating agency Standard & Poor’s Financial Services (S&P).
On 24th, S&P raised the credit rating of SK
Innovation from BBB to BBB+, giving it a “stable” forecast. BBB+ is the highest
credit rating acquired by SK Innovation and the highest credit rating awarded
to a Korean energy company.
S&P cited the ”ability of SK Innovation to acquire
financial resources necessary for its payment of dividends and investment,
based on its stable financial policy and cash flow” as its explanation for
giving the rating.
SK Innovation has shown consistent efforts toward
reducing its debts to improve its financial structure. In particular, S&P
focused on SK Innovation’s success in reducing its debt size from KRW 9
trillion in late 2014 to KRW 3 trillion at the end of last year, and the
sturdiness of its financial structure against the volatile conditions of the
SK Global Chemical, the focal point of SK Innovation’s
industrial restructuring, was also awarded the credit rating of BBB+. According
to S&P, SK Global Chemical deserves the new credit rating because of the
results of its global partnership efforts and its continuing importance in SK
Innovation’s expansion in 2018 through its aggressive investment practices.
“This new rating from S&P is a positive signal that
we will achieve our goal of attaining a KRW 30 trillion net worth earlier than expected,”
said an SK Innovation representative. “We will continue our efforts in investing
and restructuring to facilitate our ascent as a global player in the petrochemical
and energy industry,” the representative added.