Woori Financial Group is mobilizing its subsidiaries to provide financial support for the construction of a 600 billion won artificial intelligence (AI) data center in Pohang.
On September 23, Woori Financial announced that it has signed a project financing agreement for the 'Pohang AI Factory Data Center' to be built in the Gwangmyeong General Industrial Complex in Nam-gu, Pohang.
The project involves the construction of an AI data center with a power capacity of 40 megawatts and an IT load of 32 megawatts. Of the total project cost of 600 billion won, 150 billion won will be funded through equity, while 450 billion won will come from project financing loans, with a completion target set for the end of 2027.
Participating in the project are Woori Bank, Woori Investment & Securities, Woori Asset Management, Woori Asset Trust, and Woori Financial Capital. Woori Bank will act as a joint financial arranger alongside KB Kookmin Bank and will also serve as the agent bank. Woori Asset Management will handle initial project discovery and asset management company (AMC) tasks, while Woori Investment & Securities will provide financial advisory services in collaboration with Hyundai Motor Securities.
Woori Asset Trust will manage collateral trust and fund management duties, and Woori Financial Capital will participate in project financing.
NHN Cloud has committed to pre-leasing 16 megawatts, which accounts for half of the total IT load, and will also operate the data center after its completion. Hyundai Engineering & Construction, the contractor, will provide a completion guarantee.
Lee Dong-hyuk, head of the Infrastructure Finance Department at Woori Bank, stated, “This is an example of how we are leveraging the group’s comprehensive financial capabilities to support the construction of key infrastructure in the AI era. We will continue to expand productive finance to ensure that funds flow into advanced strategic industries and the local economy.”
* This article has been translated by AI.
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