SK Ecoplant, SK Group’s environmental and energy solutions provider, announced on Sept. 9 that it has sold 9,223,555 shares of Ascend Elements to SKS Private Equity (SKS PE) for $98.23 million (about 131.6 billion won).
SK Ecoplant had previously invested a total of $60.84 million in Ascend Elements, a U.S.-based waste battery recycling company. With this sale, the company aims to accelerate the optimization of its portfolio, including its recycling business. SK Ecoplant plans to focus on expanding its IT asset disposition (ITAD) services through its recycling subsidiary, SK TES, to meet the rising demand driven by AI. The company will also continue its strategy to lead the global battery recycling market.
SK TES is expanding its ITAD facilities to address surging demand, including operating a hyperscale plant in Virginia capable of processing up to 600,000 individual servers annually. Located in the world’s largest data center market, this strategic facility ensures the secure destruction of data from server components, followed by comprehensive reuse and recycling processes.
The collaboration between Essencore, a soon-to-be subsidiary, and SK TES is expected to create significant added value. Essencore, based in Hong Kong, specializes in semiconductor modules. IT assets processed through the ITAD system will either be refurbished for resale or dismantled into components such as DRAM modules, SSDs, SD cards, and USBs. The business model may also involve extracting key metals from semiconductor materials for supply to semiconductor manufacturers, further enhancing the value chain.
In the electric vehicle battery recycling market, SK Ecoplant will explore new opportunities using its established infrastructure in North America, while maximizing the utilization of facilities in Asia and Europe. The company has successfully internalized key technologies to improve the recovery rates of critical minerals like nickel, cobalt, and lithium from used batteries.
The sale is also expected to strengthen SK Ecoplant’s financial stability, providing over 130 billion won in liquidity. “We have achieved practical benefits through strategic investments,” the company said. “We will continue to enhance our financial stability and competitiveness in the recycling business, including battery recycling.”
