Nvidia invests $1 bil. in Naver for 4.5% stake

Nvidia has agreed to acquire a 4.5 percent stake in Naver through a $1 billion strategic investment, deepening a partnership aimed at building large-scale artificial intelligence (AI) infrastructure and expanding sovereign AI services.

Naver announced Monday that it had signed an agreement to issue about 7.24 million new shares to Nvidia through a third-party allotment, marking its first such share sale in 22 years and the first since its 2008 KOSPI listing.

The new shares, priced at 204,500 won ($140) each, represent a 4.5 percent stake in Naver.

Payment is scheduled for Oct.

30.

Naver said it would cancel about 4.9 million treasury shares worth about 1 trillion won on Aug.

3 to offset shareholder dilution from the new share issuance.

Following the cancellation, Nvidia is expected to become Naver's third-largest shareholder, behind the National Pension Service and BlackRock.

The investment follows an agreement between the two companies in June to jointly develop gigawatt-scale AI factories, expanding their partnership beyond Nvidia's role in supplying graphics processing units (GPUs).

Na ...