SK Hynix raises $26.5B in the biggest foreign IPO in US history, is urged to build new US fabs
The AI chip boom just produced its biggest Wall Street moment yet. Now SK Hynix and Samsung are being asked to build U.S. factories. SK Hynix, a South Korean memory chip giant, said Friday it has raised $26.5 billion (KRW 40 trillion) in its U.S. market debut.
Key Takeaways
- This deal, the largest-ever U.S. debut by a non-American company, topped Alibaba's $25 billion IPO in 2014.
The company begins trading on the Nasdaq today, Friday, July 10, under the temporary ticker SKHYV.
- Yet, demand for the offering was reportedly more than seven times the available shares, per media reports.
That's especially amazing considering Korean companies have long traded at a discount to their global peers.
- HBM is a key component of AI GPUs processors.
And right now, Nvidia relies on SK Hynix as one of its primary suppliers.
- It announced it plans to invest $250 billion in new U.S. manufacturing, a commitment the U.S. memory chip company says will create more than 90,000 jobs and keep leading-edge chip production on American soil.
The timing of Lutnick's request is notable beyond this U.S. IPO for SK Hynix: Both Korean chipmakers just pledged more than $550 billion for new manufacturing investment in South Korea.
- Savings end June 26, 11:59 p.m. PT .
Stats & Key Facts
- #SK Hynix, a South Korean memory chip giant, said Friday it has raised $26.5 billion (KRW 40 trillion) in its U.S. market debut.
- #SK Hynix sold 177.9 million American depositary shares (ADRs) at $149 each, structured so U.S. investors can buy in at roughly a tenth of what a full share costs in Seoul.
- #This deal, the largest-ever U.S. debut by a non-American company, topped Alibaba's $25 billion IPO in 2014.
- #The stock opened at 14% over its IPO price , and the price was still rising in early trading on Friday.
The AI chip boom just produced its biggest Wall Street moment yet. Now SK Hynix and Samsung are being asked to build U.S. factories. The AI chip boom just produced its biggest Wall Street moment yet.
SK Hynix, a South Korean memory chip giant, said Friday it has raised $26.5 billion (KRW 40 trillion) in its U.S. market debut. SK Hynix sold 177.9 million American depositary shares (ADRs) at $149 each, structured so U.S. investors can buy in at roughly a tenth of what a full share costs in Seoul. This deal, the largest-ever U.S. debut by a non-American company, topped Alibaba's $25 billion IPO in 2014.
The stock opened at 14% over its IPO price , and the price was still rising in early trading on Friday. This even as it priced its U.S. shares at a 2.7% premium to its own three-day average back home in Seoul, according to its Korea Stock Exchange filing . Yet, demand for the offering was reportedly more than seven times the available shares, per media reports.
For more details please read the original article at TechCrunch AI.
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