Key Takeaways
- • Kolon Global partners with Hana Bank ecosystem to establish an onshore wind power fund, combining development expertise with project financing and asset management capabilities to accelerate domestic wind projects in South Korea.
- • Kolon Global commands 25%+ market share in South Korean wind power EPC contracts and targets aggressive dividend growth from 3.5 billion won ($2.62 million) in 2023 to 50 billion won by 2030, with the fund supporting this expansion.
- • Fund structure leverages complementary roles: Kolon Global handles engineering and construction; Hana Bank arranges project financing; Hana Alternative Asset Management creates fund structures; MDM Asset Management commits capital through its infrastructure investment vehicle.
- • Growth strategy extends beyond onshore wind to include green hydrogen production linked to wind farms, repowering legacy installations, and expansion into offshore wind—diversifying revenue streams and positioning Kolon for long-term renewable energy dominance.
Summary
South Korea's Kolon Global Corp. signed a formal agreement on August 21, 2024, with Hana Bank, Hana Alternative Asset Management, and MDM Asset Management to establish a dedicated fund for domestic onshore wind power development. The partnership aligns complementary competencies: Kolon Global will manage engineering, procurement, and construction (EPC) operations and general engineering services, while Hana Bank will provide project financing advisory and capital arrangement. Hana Alternative Asset Management will structure and fund the vehicle, with MDM Asset Management committing investment capital through MDM Infrastructure Investment Co.
Kolon Global holds the largest market share in South Korean wind power, commanding over 25% of EPC contracts. The company expects the fund structure to accelerate project acquisition and financing, critical enablers for its aggressive dividend targets. Wind-related dividends are projected to grow from 3.5 billion won ($2.62 million) in 2023 to 10 billion won in 2027 and 50 billion won by 2030—representing a 14-fold increase over seven years.
Beyond onshore wind development, Kolon Global's strategy encompasses three growth pillars: green hydrogen production integrated with wind assets, repowering aging wind installations to extend asset life and output, and expansion into offshore wind capacity. These initiatives position the company to capture multiple revenue streams within South Korea's renewable energy transition and reduce reliance on any single project category. The partnership with Hana's financial ecosystem—combining banking, alternative asset management, and infrastructure investment expertise—provides institutional infrastructure to scale these operations efficiently while securing long-term project financing at scale.
Kolon Global holds the largest market share in South Korean wind power, commanding over 25% of EPC contracts. The company expects the fund structure to accelerate project acquisition and financing, critical enablers for its aggressive dividend targets. Wind-related dividends are projected to grow from 3.5 billion won ($2.62 million) in 2023 to 10 billion won in 2027 and 50 billion won by 2030—representing a 14-fold increase over seven years.
Beyond onshore wind development, Kolon Global's strategy encompasses three growth pillars: green hydrogen production integrated with wind assets, repowering aging wind installations to extend asset life and output, and expansion into offshore wind capacity. These initiatives position the company to capture multiple revenue streams within South Korea's renewable energy transition and reduce reliance on any single project category. The partnership with Hana's financial ecosystem—combining banking, alternative asset management, and infrastructure investment expertise—provides institutional infrastructure to scale these operations efficiently while securing long-term project financing at scale.
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