KB Kookmin Bank Arranges Korea’s First GPU Financing

KB Kookmin Bank said on the 1st that it had secured the lead arranger role for an artificial intelligence computing infrastructure project worth approximately 12.6 trillion won, pursued by Brookfield. The bank said the deal marks Korea’s first GPU financing and the largest syndicated loan arrangement in the country’s history. A syndicated loan is a loan provided jointly by multiple financial institutions.

The project will be carried out through a special purpose company (a company formed for a specific project) established by Brookfield. It will secure GPUs and other AI computing infrastructure and supply them to Naver Cloud under a long-term arrangement. About 10.7 trillion won of the total project funding will be raised through loans, and KB Kookmin Bank will oversee the financing as lead arranger.

KB Kookmin Bank said it developed a tailored financing structure that accounts for the project’s characteristics and phased investment schedule, and supported smooth fundraising. Hana Bank, Shinhan Bank, Woori Bank and NH Investment & Securities are also reported to have taken part in arranging the financing.

KB Kookmin Bank described the project as an example of productive finance, in which global investors and domestic financial institutions work together to provide funding needed to expand AI infrastructure. A bank representative said the deal opened up a new area of finance and said the bank would expand support for future growth industries and contribute to strengthening domestic industrial competitiveness by promoting productive finance. The bank announced that it had secured the financing role on the 1st. The figures and funding structure are based on the bank’s announcement as reported by the article.

KB Kookmin Bank said on the 1st that it had secured the lead arranger role for an artificial intelligence computing infrastructure project worth approximately 12.6 trillion won, pursued by Brookfield. The bank said the deal marks Korea’s first GPU financing and the largest syndicated loan arrangement in the country’s history. A syndicated loan is a loan provided jointly by multiple financial institutions.

The project will be carried out through a special purpose company (a company formed for a specific project) established by Brookfield. It will secure GPUs and other AI computing infrastructure and supply them to Naver Cloud under a long-term arrangement. About 10.7 trillion won of the total project funding will be raised through loans, and KB Kookmin Bank will oversee the financing as lead arranger.

KB Kookmin Bank said it developed a tailored financing structure that accounts for the project’s characteristics and phased investment schedule, and supported smooth fundraising. Hana Bank, Shinhan Bank, Woori Bank and NH Investment & Securities are also reported to have taken part in arranging the financing.

KB Kookmin Bank described the project as an example of productive finance, in which global investors and domestic financial institutions work together to provide funding needed to expand AI infrastructure. A bank representative said the deal opened up a new area of finance and said the bank would expand support for future growth industries and contribute to strengthening domestic industrial competitiveness by promoting productive finance. The bank announced that it had secured the financing role on the 1st. The figures and funding structure are based on the bank’s announcement as reported by the article.