I am studying linear minimum mean squared error (MMSE) receivers. The technique used in it suggests to make colored noise white by multiplying it with the invertible covariance matrix $K_z^{-\frac{1}{2}}$, with $K$ given by
$$K_{zk} = N_0 I_nr +\sum_{i≠k}^{n_t}P_ih_ih_i^*$$
where $h_i$ and $h_i^*$ are the channel gain and channel gain conjugate transpose, respectively, and $n_t$ is the number of transmit antennas. The colored noise is because of interference from other users (I guess so!).
I am confused as how the multiplication of $y = hx + z$ with $K_z^{-\frac{1}{2}}$ can transform colored noise to white though I can guess that may be multiplying with inverse cancel out the colored part and the noise is white now. Am I correct?