Korean renewables developer SK Inc and global investment firm KKR have agreed to establish a KRW2 trillion (US$1.29 billion) renewable energy platform that will combine 1.7GW of operating generation assets and target rising electricity demand from South Korea’s industrial sector.
The platform will integrate the full project lifecycle, covering development, construction, operations and maintenance. Alongside its existing 1.7GW operational portfolio, it has a development pipeline that the companies said could expand total capacity to 10GW.
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The platform will combine SK Group’s solar, onshore and offshore wind, and fuel cell assets to supply growing electricity demand from AI data centres, semiconductor manufacturing and other industrial users.
KKR will hold management control of the platform during its initial phase, while SK will participate as an equity investor. SK retains the option to seek control rights through future discussions between the partners.
The investment will be funded primarily through KKR’s Asia Pacific infrastructure strategy. The firm has previously backed renewable and energy transition platforms, including Serentica Renewables in India, CleanPeak Energy and Zenith Energy in Australia.
Keith Kim, partner at KKR, said: “Korea is one of Asia’s most attractive renewable energy markets, underpinned by strong corporate demand for clean power from the semiconductor, data centre, and manufacturing sectors. Together, we are establishing a leading, scaled renewable energy platform that can supply reliable clean power to Korea’s most demanding industrial users.”
The platform brings together renewable energy businesses from SK Innovation, SK ecoplant and SK eternix as part of SK’s wider portfolio restructuring. The company said the consolidation is intended to improve capital efficiency and strengthen the competitiveness of its renewable energy operations.
The financial terms beyond the valuation and completion timeline were not disclosed.
Earlier this week, KKR agreed to acquire EDF Power Solutions’ renewable energy business in the US and Canada, including assets across wind, solar, battery storage, EV charging infrastructure and microgrids.
