SK Telecom, South Korea's largest mobile operator, is separating data center and submarine cable operations from wholly owned SK Broadband into a new entity, SK Horizon, as SK Group reallocates capital after streamlining 110 consolidated subsidiaries. SK Telecom will sell a 37% stake in SK Horizon to KKR and a consortium of IMM Investment and Stonebridge Capital for 1.88 trillion Korean won, or approximately $1.4 billion, and plans a sequential 1.2 trillion-won, or about $875 million, share issue. The transaction is expected to secure 3.08 trillion won, or about $2.2 billion, for expansion and take effect on February 1, 2027, with SK Telecom retaining 51%, KKR 29% and the IMM consortium 20%.