Nvidia finalizes payment of US$1 bln, acquires over 4 pct stake in Naver
Yonhap News Agency
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Nvidia completed a $1 billion investment in South Korean portal operator Naver, acquiring a 4.13% stake through a private placement. This investment supports their joint AI factory project and Naver's expansion of GPU-based services.
What happened
Nvidia completed a $1 billion investment in Naver, a South Korean internet company, on Friday. The payment was made through a private placement, giving Nvidia a 4.13 percent ownership stake in Naver. This transaction follows a strategic agreement between the two companies to collaborate on an AI factory project. Naver issued more than 6.5 million new shares to Nvidia as part of the deal.
Key details
- Nvidia invested $1 billion in Naver.
- Nvidia acquired a 4.13% stake in Naver.
- The investment was made through a third-party rights offering and private placement.
- Naver issued over 6.5 million new shares to Nvidia.
- Naver is building GPU-based infrastructure at its Gak Sejong data center.
Why it matters
Naver gains significant capital to expand its GPU-based services and develop its data center infrastructure. Nvidia secures a stake in a major Asian technology company and strengthens its partnership in AI infrastructure projects. Businesses and customers using Naver’s services may see expanded GPU-powered offerings as a result of this investment.