SK Hynix Unveils $28 Billion Nasdaq Listing
South Korean chipmaker SK Hynix on Monday initiated a share sale in the United States aimed at raising 43 trillion won and attracted indications of interest totalling up to $7 billion from prominent investors. This move comes as the company seeks to leverage the global artificial intelligence boom through one of the largest new share offerings in the world. Baillie Gifford Overseas, investment funds managed by Coatue Management and Situational Awareness Partners have each separately expressed interest in acquiring up to a total of $7 billion in SK Hynix’s American depository receipts, according to SK Hynix.
Baillie Gifford Overseas refrained from providing a comment, whereas Coatue Management and Situational Awareness Partners did not promptly respond to a request for commentary. The company is set to issue 17.79 million new shares via the ADRs on the Nasdaq; each 10 ADRs will correspond to one common share, and a filing on Monday indicated a reference price of 242,500 won per ADR, derived from SK Hynix’s closing price in Seoul on July 3. The deal emerges as Asian chip companies leverage robust global demand for AI-related stocks. Taiwan’s Unimicron Technology is aiming to secure approximately $1.4 billion via the issuance of global depositary shares, which are shares listed internationally that correspond to its domestic stock.
SK Hynix’s shares concluded Monday with a decline of 3.4 per cent, settling at 2,343,000 won; however, they remain elevated by approximately 260 per cent year-to-date. The KOSPI experienced a decline of 0.5 percent on Monday. Memory chip stocks have exhibited volatility in recent sessions, influenced in part by renewed investor apprehensions regarding the sustainability of the current boom. “We are in the midst of a memory super cycle, with all three major suppliers — Samsung, SK Hynix, and Micron — riding the AI-driven demand wave,” said Di Zhou. Thornburg Investment owns SK Hynix’s Korean ordinary shares.
