The Korea Times close
National
  • Politics
  • Diplomacy
  • Defense
  • Labor & Environment
  • Law & Crime
  • Health & Welfare
  • Embassy
  • Seoul & Provinces
  • Education
  • Foreign Communities
  • Obituaries
Biz & Tech
  • Auto
  • IT
  • Game
  • Manufacturing
  • Retail & Food
  • Energy
  • Construction
  • Airlines
Finance
  • Policies
  • Economy
  • Markets
  • Banks
  • Non-banks
Opinion
  • Editorial
  • Columns
  • Thoughts of the Times
  • Cartoon
  • Today in History
  • Blogs
  • Tribune Service
  • Blondie & Garfield
  • Letter to the Editor
Lifestyle
  • Arts
  • Books
  • Travel & Cuisine
  • Trend
  • Fashion
  • Around Town
  • Fortune Telling
Entertainment
  • K-pop
  • K-dramas & Shows
  • Movies
  • Music
  • Performances
  • Asia Model Festival
Sports
  • Football
  • Golf
  • Baseball
  • Other Sports
World
  • Asia Pacific
  • Americas
  • Europe & Africa
  • SCMP
Video
  • On the Spot
  • Feature
  • News
Photos
  • Photo News
  • Darkroom
Community
  • The Korea Times
  • search
  • Site Map
  • E-paper
  • Subscribe
  • Register
  • LogIn
search close
  • The Korea Times
  • search
  • Site Map
  • E-paper
  • Subscribe
  • Register
  • LogIn
search close
Finance
  • Policies
  • Economy
  • Markets
  • Banks
  • Non-banks
Thu, February 25, 2021 | 23:14
Markets
Hahn & Co. satisfies ESG criteria with SK Eco Prime takeover
Posted : 2021-02-05 09:13
Updated : 2021-02-07 23:19
Mail
Print Preview
Font Size Up
Font Size Down
gettyimagesbank
gettyimagesbank

By Park Jae-hyuk

Hahn & Company (Hahn & Co.) is accelerating investments taking into account environmental, social and corporate governance (ESG) criteria through the acquisition of companies engaging in eco-friendly businesses.

The private equity firm (PEF) took over SK Eco Prime, which was formerly SK Chemicals' biofuel operation, for 380 billion won ($340 million) in February last year, to increase its investments in renewable energy.

This decision was made amid growing calls for businesses worldwide to focus more on fulfilling their social responsibilities through sustainable investments.

The European Union proposed the Renewable Energy Directive (REDII) for the promotion of energy from renewable sources in various sectors. The Ministry of Environment here also announced a plan last December to reduce greenhouse gas emissions in 2030 by 24.4 percent from the 2017 level to fight climate change.

In particular, both Europe and Korea will gradually raise the mandatory biodiesel blend level because it is considered to be an eco-friendly fuel which emits less greenhouse gases than conventional diesel. The biodegradable material is also less polluting in case of a spill in the ocean or on land.

SK Eco Prime has the largest share of the domestic biodiesel market. The company holds several patents for its unique technologies that enable the production of high-quality biodiesel without a catalyst.

Unlike other biodiesels that use ordinary soybean or palm oil, SK Eco Prime can produce high-quality biodiesel with low-quality ingredients, such as the by-products of palm oil extraction and refining. This means the company's product is more environmentally friendly and cost-effective than other products. U.K. Department of Transport data showed SK Eco Prime's biodiesel made with palm oil mill effluent can reduce greenhouse gas emissions more than other products.

Based on the technologies, the Korean firm entered the European biodiesel market and its exports rose to 25,000 tons in 2020 from 15,000 tons in 2019.

In addition, the biofuel manufacturer produces bio heavy fuel oil made of by-products from biodiesel processing, animal fats and food waste oil. It is used in thermal power plants. Given the government ordered power companies to use a certain amount of renewable energy for their production of electricity, demand for bio heavy fuel is expected to grow further.

"The acquisition of SK Eco Prime is regarded as a decision to cope with global environmental regulations and to follow the trend of ESG investing," a Hahn & Co. official said. "Amid the growing importance of carbon neutrality, governments around the world are bolstering their support for eco-friendly fuels, such as biodiesel and bio heavy fuel."

Even before the takeover of SK Eco Prime, the PEF has paid attention to the global trend of going green over the past few years.

SK D&D, a renewable energy developer acquired by Hahn & Co. in 2017, is pushing ahead with a project to develop offshore wind power generation facilities with a total capacity of 700 megawatts.

Ssangyong Cement, which was included in Hahn & Co.'s portfolio in 2016, has invested 115 billion won in constructing eco-friendly cogeneration facilities. The company is also using recycled fuel, instead of bituminous coal, to produce cement.


Emailpjh@koreatimes.co.kr Article ListMore articles by this reporter









 
 
  • K League star Ki Sung-yueng denies sexual assault allegations
  • All overseas arrivals required to submit negative PCR test results
  • Haute couture designer Kay Kim speaks about SM's girl band debut costume, her brand
  • Korea reports 1st population decline in 2020; total fertility rate hits new record of 0.84
  • Victims still reeling from traumatic past, yet bullies forgetful
  • Earth is suffering [PHOTOS]
  • Hyundai to replace Kona EV batteries
  • [ANALYSIS] Is Samsung Electronics losing competence in NAND?
  • New virus cases rebound to over 400 ahead of vaccine rollout
  • South Korea raises wartime sex slavery issue at UN
  • B.A.P Himchan sentenced to 10 months in prison for sexual assault B.A.P Himchan sentenced to 10 months in prison for sexual assault
  • Agency refuses to confirm report that Jennie and G-Dragon are dating Agency refuses to confirm report that Jennie and G-Dragon are dating
  • [INTERVIEW] 'Minari' actor Han Ye-ri recalls why the film is special to her [INTERVIEW] 'Minari' actor Han Ye-ri recalls why the film is special to her
  • Online streamer under fire for 'thoughtless' behavior in Brazil Online streamer under fire for 'thoughtless' behavior in Brazil
  • 'Beauty Water' becomes 1st Korean animated film to win award at Boston Sci-Fi Film Festival 'Beauty Water' becomes 1st Korean animated film to win award at Boston Sci-Fi Film Festival
DARKROOM
  • Earth is suffering [PHOTOS]

    Earth is suffering [PHOTOS]

  • NASA's Perseverance rover is landing on Mars

    NASA's Perseverance rover is landing on Mars

  • Fun in the snow, sledding for everyone

    Fun in the snow, sledding for everyone

  • Our children deserve better: Part 3

    Our children deserve better: Part 3

  • Mass COVID-19 vaccination campaign starts: Part 2

    Mass COVID-19 vaccination campaign starts: Part 2

  • About Korea Times
  • CEO Message
  • Times History
  • Content Sales
  • Media Kit
  • Contact Us
  • Location
  • Privacy Statement
  • Terms of Service
  • Mobile Service
  • RSS Service
  • 고충처리인
  • hankookilbo
  • Dongwha Group
  • Code of Ethics
Copyright