SKC Co. has received board of directors' approval to vertically spin-off its chemical business and sell a 49% interest in the new separate entity to Petrochemical Industries Co. (PIC) of Kuwait. In addition, the parties have signed an agreement to form a propylene oxide (PO) joint venture.  The new joint venture company, which SKC and PIC agreed will be valued at $1.195-billion, will include a 45% stake in SKC Evonik Peroxide Korea. The transaction is expected to close in 1Q20, subject to regulatory approvals and customary closing conditions. SKC has a strategy to achieve an annual production target of 1-million tons of PO. SKC believes this joint venture will facilitate the exploration of future opportunities and is an important step towards its strategy.