Internet Data Services Provider VNET Inks Strategic Partnership With Shandong Hi-Speed Holdings

Chinese internet and data service provider VNET Group, Inc VNET has entered into a strategic cooperation agreement with Shandong Hi-Speed Holdings Group Limited (SDHG), an emerging industrial holding platform of Shandong Hi-Speed Group. 

Under the agreement, SDHG and VNET will leverage their respective resources and strengths to develop renewable energy projects in northern China.

The collaboration aims to jointly build a low-carbon, secure and highly-efficient renewable energy system, aligning with the national strategy, East Data, West Computing.

The parties will also build computing power network infrastructures that will include data center, cloud computing and big data to promote the low-carbon and high-quality development of IDC services.

"We look forward to collaborating with SDHG in a variety of green energy initiatives to advance toward our carbon neutrality targets and meet surging demand for supercomputing and digital transformation across a broader swath of society," said VNET founder and executive chairman Josh Sheng Chen.

The company also reported the completion of the previously announced equity investment of $299 million from Success Flow and Choice Faith, both of which are beneficially owned by Shandong Hi-Speed Holdings.

Price Action: VNET shares are trading higher by 2.84% at $2.90 in premarket on the last check Thursday.