US private equity firm KKR and a consortium involving Korean investment firms IMM Investment and Stonebridge are investing KRW3.08trn (€1.9bn) in SK Horizon, a newly created data centre platform in South Korea.
SK Horizon was spun out of SK Broadband, a subsidiary of Korean telecommunications firm SK Telecom.
The deal will see KKR and IMM hold 29% and 20% stakes in SK Horizon, respectively, while SKT will retain management control as the largest shareholder with 51%.
Keith Kim, partner at KKR, said: “We are pleased to support SKT as it establishes SK Horizon and expands its AI data centre infrastructure platform in Korea. SK Horizon brings together an established operating platform, capacity under development and a strong strategic partner. “
Kim noted Korea’s advanced digital ecosystem and growing demand for AI capacity provided a strong foundation for SK Horizon’s next phase of growth.
Kim Byung-hun, head of infrastructure at IMM Investment, said: “AI data centres and submarine cables will be among the core infrastructure assets shaping Korea’s digital sovereignty and industrial competitiveness going forward.
“By investing in SK Horizon on the back of long-term capital from Korea’s leading institutional investors, the IMM Investment-led consortium aims to build a sustainable growth structure that combines the capital strength of our global partner with the stability of domestic capital.”
SK Telecom will continue to oversee the AI data centre business, SK Horizon will handle operations and expansion, and SK Hyper will develop new projects.
SK Horizon will be responsible for expanding its infrastructure to a total capacity of 318 MW, encompassing eight data centres in operation and under construction. It will also pursue the phased expansion of its submarine cable infrastructure.
