SK units make strategic investment in Myanmar oil product distributor

SEOUL -- Two subsidiaries of SK Innovation, a petroleum refining and battery-making unit of South Korea's SK Group, made a strategic investment in Best Oil Company (BOC), the second-largest oil product distributor in Myanmar, through the acquisition of shares.

SK Innovation said Friday that its two affiliates, SK Energy and SK Trading International, agreed to purchase a 35 percent stake in the holding firm of BOC for 150 billion won ($127 million). BOC has a commanding presence in the upper Myanmar region.

SK Innovation said the acquisition of shares is aimed at entering the overseas retail market and expanding its business in Southeast Asia. Last year, SK Energy bought a 5.23 percent stake in Vietnam's PetroVietnam Oil Corp. SK Innovation, a unit of South Korea's SK Group, has been involved in oil exploration in Vietnam

"We will create a success story that maximizes the performance of partner companies" by utilizing SK's know-how, SK Energy CEO Cho Kyong-mok said. "We will use this as a stepping stone to expand SK's influence in the Southeast Asian market."