SEOUL, May 4 (Yonhap) — SK Telecom Co., South Korea’s largest mobile carrier, said Tuesday it has decided to cancel 2.6 trillion won (US$2.32 billion) worth of treasury shares, over 10 percent of its total floated stocks, in a move to boost shareholder value amid plans to split into two companies later this year.

The telecom operator said in a statement that it would retire 8.69 million treasury stocks, or 10.8 percent of its total issued stocks, by May 6.

The move comes after SK Telecom said last month that it would split itself into two companies, forming a new holding company that will oversee operations of its non-mobile affiliates and subsidiaries, such as memory chip giant SK hynix Inc.