SK Networks eyes partnership with US-based Bow Capital

SK Networks Co., a South Korean trading company, is seeking to form a partnership with Silicon Valley-based venture capital firm Bow Capital to diversify startup investments beyond its home turf.

SK Networks said on Wednesday its President and Chief Operating Officer Choi Sunghwan met with Bow Capital founder and Chairman Vivek Ranadive in Silicon Valley to discuss working together. 

Their gathering comes as the SK Group unit is aiming to transform into an investment-focused company.

Ranadive is a renowned entrepreneur, engineer, best-selling author and philanthropist. As a Massachusetts Institute of Technology student, he set up and managed TIBCO Software.

Established in 2016, Bow Capital boasts a diverse investment portfolio in collaboration with the University of California, which encompasses UC’s 10 campuses, six medical centers and teaching hospitals, as well as three national labs and research centers.

Ranadive took over the US National Baseball Association’s (NBA) Sacramento Kings in 2013 to become the NBA’s first Indian American owner.
 
SK Network’s US-based investment arm Hico Capital is pursuing investments in early-stage technology startups with Bow Capital.

Their investment targets span software, artificial intelligence, climate change management, digital business, sports and entertainment.

SK Networks has focused on early stage investment since 2018. The potential partnership with Bow Capital will bolster its investment capability and diversify its portfolio into various stages of startups.

“Hico Capital will be able to strengthen investment capabilities in partnership with Bow Capital and build a foundation to expand abroad beyond early-stage investment,” said an SK Networks official.

SK Networks’ Choi will serve as an advisor when both companies finally sign a partnership to support Bow Capital's fundraising and review of investment targets.

Apart from startup investing, it will continue to boost shareholder value through treasury stock purchase and cancellation, as well as dividend payments.
 
Write to Mi-Sun Kang at misunny@hankyung.com

Yeonhee Kim edited this article.