Seoul, Oct. 16 -- SKC Co., a materials unit of South Korea's SK Group, will absorb and merge with SK enpulse Co., its semiconductor materials investment subsidiary as part of a reorganization move to focus on high-value-added semiconductor back-end packaging, according to a report by Pulse, the English service of Maeil Business Newspaper Korea.

As per the report, SKC announced on Wednesday that its board approved a plan to merge with SK enpulse during a meeting on Tuesday.

The merger is expected to be completed within this year after the remaining procedures are finalized.

"The merger will allow SKC to secure about 380 billion won (USD 267.4 million) in funds, including SK enpulse's cash holdings and proceeds from recent business dives...