Page 15 - investor presentation

Comparison of SK vs. Traditional PE/VC Firms

SK’s unique strengths as a Strategic Investors differentiated itself from traditional PE/VC funds throughout the investment

process from deal making to value up and exit

Deal Making Value Up Exit

Deal sourcing mainly relied upon key men of Relying on external advisors who tend to Exit strategy heavily relied on market
GP team and their networks focus on short term measures to show-off environments
- Limited proprietary deals due to increasing immediate results on the bottom line - Limited exit options such as IPO and Trade Sale
competition for quality deals in the market - Layoffs, divesture of unprofitable business and - Fire sale might be only option due to increasing
Traditional technology license to compromise long term exit pressure given the fund tenor
PE/VC Due diligence heavily relied upon external competitiveness of company
advisors and consultants
Fund - Lack of internal industry and technologicval expertise Limited resources/teams to manage entire
leading to CDD and TDD done by external advisors portfolio companies

Early sensing on highly attractive investment From strategic perspective, value up plans SK affiliates as an optional exit route
opportunities are developed even before the investment - Especially upon the co-investments, SK as a
- Real time monitoring of high growth areas and to improve fundamental competitiveness strategic investor may consider to buy-back
sectors to catch early on - Leveraging in-house experts across functions FI’s stake
(R&D, supply chain, manufacturing, marketing)
Extensive deal sourcing channel - Group resources such as brand, network, market/
- Core investment team plus Group affiliates’ internal customer access, talent and mgmt. pool and
and external network to identify proprietary deals infrastructures
- Value chain integration for synergy creation
Highly reliable validation process - Bolt-on acquisition to consolidate the fragmented
- Not just external research but also internal experts market
and know-how enabling faster and more reliable
due diligence Quick execution of value up activities using
internal resources and capabilities right
after the investment

14 15