KRX:475150

SK, KKR Launch 2 Trillion-Won Renewable Energy Platform in Korea

South Korean conglomerate SK Inc. (KRX:034730) and US private equity firm KKR signed definitive agreements to launch what they describe as "Korea's largest renewable energy platform," valued at 2 trillion won, according to a press release on Wednesday.The new platform combines renewable energy assets previously held by SK affiliates, including SK Innovation (KRX:096770), SK Ecoplant and SK Eternix (KRX:475150).The assets span solar, onshore and offshore wind, and fuel cells, combining them into a single, integrated platform, according to the companies.The platform covers the full value chain from development and construction through operation and maintenance.The platform currently has about 1.7 gigawatts of capacity in operation, with a development pipeline that would bring total capacity to 10 gigawatts. SK and KKR said this is enough to simultaneously and continuously power 100 large-scale, 100-megawatt data centers.At its initial phase, KKR will hold management control of the platform, with SK participating as an equity investor. The South Korean firm will also retain flexibility to pursue control rights through negotiations.The investment is being made through KKR's Asia Pacific infrastructure strategy.The deal is aimed at meeting surging demand for clean power in Korea from AI data centers, semiconductor manufacturing and other large industrial users. For SK, the move is part of a broader portfolio rebalancing, while for KKR, it extends a series of Asia Pacific energy transition investments that include Serentica Renewables in India, CleanPeak Energy in Australia and Zenith Energy in Australia.KKR has invested more than $31 billion in energy transition and renewables infrastructure since 2011 and manages more than $100 billion in infrastructure assets globally."We are delighted to work alongside SK, a strategic partner with deep local operational capability. Korea is one of Asia's most attractive renewable energy markets, underpinned by strong corporate demand for clean power from the semiconductor, data center, and manufacturing sectors," said Keith Kim, Partner at KKR.The move marks the latest multi-trillion-won investment for SK Inc. parent, SK Group, in recent days after it announced on Monday a 2,100 trillion-won plan to enhance South Korea's AI value chain, supporting the government's AI plans.Of the total, 1,100 trillion won will be used to boost semiconductor production, while 1,000 trillion won will go toward an AI memory production belt linking the cities of Yongin and Cheongju with the country's southwestern region.