Kakao sells 8.8 percent of cloud subsidiary to KDB
Kakao sold 8.8 percent of its Kakao Enterprise cloud services subsidiary to state-owned Korea Development Bank (KDB).
The 100-billion-won ($92 million) deal suggests a 1.1-trillion-won valuation for the company.
Proceeds from the transaction will go toward improving Kakao Work and Kakao i Cloud, according to Kakao Enterprise on Wednesday.
Formed in December 2019, the company has grown rapidly due to pandemic-related demand.
The unit has signed deals with 16 companies and entities, including the Korean Intellectual Property Office, NH Investment & Securities and Everland, to develop tools and services to facilitate digital transformation in different industries.
Kakao Work gained more than 100,000 corporate clients within three months of September's introduction.
The remaining 91.2 percent of Kakao Enterprise is owned by Kakao and its employees.
BY PARK EUN-JEE [email@example.com]