SK Hynix Eyes 10 Billion Dollar US Listing for AI Growth
SK Hynix is weighing a U.S. listing to raise up to 10 billion dollars for AI chip production. The move aims to expand capacity and attract global investors.
SK hynix Inc., a leading semiconductor manufacturer based in South Korea, is reportedly considering a listing in the United States to raise between $10 billion and $15 billion. The potential move, which would involve issuing American depositary receipts (ADRs), is intended to fund the expansion of production capacity for advanced memory chips and the development of artificial intelligence infrastructure.
By seeking a U.S. listing, the primary supplier for NVIDIA Corporation aims to tap into a broader pool of global capital. Industry analysts suggest this strategy could help the company narrow its current valuation gap compared to international peers such as Micron Technology, Inc.. In a statement regarding the reports, the chipmaker clarified its current position:
"The company is reviewing various measures to enhance shareholder value, including an ADR listing, but added that nothing has been finalised."
SK Group Chairman Chey Tae-won recently emphasized that the firm is looking at the ADR listing as a way to diversify its investor base beyond the domestic market. This follows a move in January where the company announced the cancellation of approximately 12.2 trillion won in treasury shares to improve shareholder returns.
Currently, SK Hynix dominates the high-bandwidth memory market with a 57% share. It also maintains a significant presence in the global DRAM sector with a 32% market share, positioning it as the second-largest player globally behind its domestic rival Samsung Electronics Co., Ltd.. Following the news, shares of the company rose 5.7%, outperforming the local benchmark index.
