NVIDIA’s (Nvidia) $1 billion investment in Naver boosted Naver shares, which surged 8% at the open on July 27. Nvidia will obtain about 7.24 million newly issued shares of Naver via a third-party rights offering. The price per share is 204,500 Korean won (about $140), representing roughly 4.5%. Nvidia is expected to become Naver’s third-largest shareholder, behind only South Korea’s national pension fund and BlackRock.
Trading details of Nvidia’s stake in Naver
According to the filing submitted by Naver to regulators on July 27 (Monday), the main terms of this share transaction are as follows:
Investment amount: $1 billion
Shares acquired: about 7.24 million newly issued shares (via third-party rights offering)
Price per share: 204,500 Korean won (about $140)
Stake: about 4.5%
Special point: Naver’s first share issuance in 22 years since listing
Date for first payment: Oct. 30, 2026
Treasury share cancellation (dilution hedging): On Aug. 3, 2026, about 4.9 million shares, with a total value of about 1 trillion Korean won (about $76 million)
Market reaction to Naver stock: jumps 8% at the open
Naver shares jumped 8% at the open on July 27, and the market reacted positively to the investment. After the cancellation of treasury shares, Nvidia is expected to become Naver’s third-largest shareholder, ranking behind only: (1) South Korea’s national pension fund (NPS); and (2) BlackRock.
June GW-class AI factory agreement
Nvidia’s investment in Naver is not a standalone event. The two companies signed an agreement in June 2026 to jointly develop GW-class (gigawatt) AI factories. The partnership will upgrade from a GPU supplier-and-customer model to a strategic collaboration focused on jointly building AI infrastructure.
The Korea Economic Daily said the move reflects the trend of South Korean companies accelerating their “Sovereign AI” strategy—building a large AI model ecosystem led by local tech firms and trained with domestic languages and data. Nvidia’s $1 billion investment effectively ties capital to Naver’s long-term needs for GPU procurement and AI infrastructure.
FAQ
What are the specific deal terms for Nvidia’s investment in Naver?
According to Naver’s regulatory filing, Nvidia will acquire about 7.24 million newly issued shares of Naver through a third-party rights offering, priced at 204,500 Korean won per share (about $140). The investment amount is $1 billion, representing about 4.5%. This capital increase is the first since Naver’s listing 22 years ago; the first payment is expected on Oct. 30, 2026.
Why does Naver need to cancel treasury shares at the same time?
Naver said it will cancel about 4.9 million treasury shares on Aug. 3, 2026 (total value of about 1 trillion Korean won) to offset the equity dilution effect on existing shareholders from Nvidia’s new share issuance. After the cancellation, the impact of Nvidia’s 4.5% new shares on existing shareholders will be partially mitigated, and Nvidia will also become Naver’s third-largest shareholder (behind only NPS and BlackRock).
What other major investments has Nvidia made recently in the South Korean market?
On July 25, Nvidia and SK Group announced a $50 billion plan covering 2GW AI data centers and an HBM4 memory supply agreement. Two days later (July 27), they announced a $1 billion investment in Naver again, showing that Nvidia is locking in the long-term share of South Korea’s AI market through a “capital + chips + infrastructure” combination—covering both fronts.
