South Korean memory chip giant SK Hynix made historic history by listing on the Nasdaq at $149 per American Depositary Share (ADS), marking the largest-ever US equity debut by a foreign company. The stock began trading under the temporary ticker SKHYV and will convert to its permanent ticker SKHY on Friday, July 10. SK Hynix shares surged 12.8% in their Nasdaq debut, opening at $170 per share compared with the offer price of $149 and closing at $168.01, according to Mint. The offering raised approximately $26.5 billion (around 40 trillion Won), with the funds specifically intended to finance new factories and equipment to meet surging demand for AI chips. This listing surpasses Alibaba's $26.5 billion New York IPO and trails only SpaceX's $75 billion Nasdaq debut last month, positioning it as the world's second-largest stock sale on record. The company holds a dominant 56.4% share of the global high-bandwidth memory market, powering Nvidia's AI processors where surging demand has kept prices at record highs through 2026.
The $26.5 billion deal represents the ultimate payoff of South Korean billionaire Chey Tae-won's bold acquisition of SK Hynix in 2012, which was viewed as problematic even within the business conglomerate. As reported by The Economic Times, Chey, who studied physics at Korea University and undertook postgraduate work in economics at the University of Chicago, sought an edge over Samsung Electronics by betting on high-bandwidth memory (HBM) chips, at the time a niche technology. "This is a truly historical moment. We've been waiting for a long, long time," Chey said during an interview with CNBC on Friday. "It is a kind of dream and now it is a dream come true," he added. SK Group Chairman Chey Tae-won told Bloomberg TV that the company could offer memory-as-a-service to help address AI-related memory bottlenecks, with the company aiming to develop 5 gigawatts of AI data center capacity outside South Korea and remaining open to more U.S. investments. The $26.5 billion offering will finance new factories and equipment to meet surging AI chip demand, positioning the company for continued growth in the AI supply chain.
The $26.5 billion deal achieved unprecedented investor response with demand exceeding the number of shares on offer by more than seven times during bookbuilding, according to reports by Reuters. The ADRs were priced at a 2.7% premium to the company's average share price over the previous three trading sessions in Seoul, with the company declining to comment on specific pricing details. "Demand for the US share sale has been stronger than some people might have expected. That implies the memory chip rally might have just taken a breath rather than peaked," said Dan Coatsworth, head of markets at AJ Bell. As of 12:40 p.m. EST, SK Hynix ADRs traded 16.4% higher at $174, demonstrating continued strong investor interest. This strong response emerged the same week South Korea's KOSPI briefly slid into a technical bear market, with steep losses in SK Hynix and Samsung Electronics shares dragging the index down. Investor optimism lifted SK Hynix shares by about 6% in morning trading on Thursday, demonstrating the market's confidence in the company's AI infrastructure positioning despite domestic market volatility. The offering attracted nearly $200 billion in orders, with almost half of all ADRs bought by the 10 biggest investors and the top 25 investor accounts receiving about two-thirds of the shares.
SK Hynix has established itself as a critical player in the AI infrastructure ecosystem through strategic partnerships and market positioning. The company recently entered a partnership with Wall Street's most valuable company, Nvidia, for advanced memory chips as AI infrastructure expands globally. The US is SK Hynix's largest market, accounting for 68.8% of its revenue last year, highlighting the strategic importance of its Nasdaq listing. The company is planning an expansion that includes building its first US production facility, located in Indiana, demonstrating its commitment to the American market. SK Hynix had revenue of just under $65 billion in 2025, with profits doubling to about $28 billion, showcasing strong financial performance. The company recently joined with Samsung and the government in announcing plans to invest a combined 800 trillion won ($518 billion) in building a new computer chipmaking hub in South Korea's southwest region, further strengthening its domestic manufacturing capabilities.
The Nasdaq listing provides significant benefits for Indian investors seeking exposure to the memory and AI theme. As noted by Viram Shah, Founder & CEO of Vested Finance, "Until now, if you wanted exposure to the biggest HBM maker, SK Hynix was on the Korea exchange, which is hard for most Indian investors to reach." The availability of SK Hynix and Micron through US brokerages has made it easier than ever for Indian investors to gain exposure to the fast-growing memory and AI theme. "SK Hynix's Nasdaq listing is a major development for Indian investors," Shah concluded. "The management is clear that this move should help close the valuation gap with Micron, since US investors can now buy in directly," according to Rishabh Nahar, Partner and Fund Manager at Qode Advisors. Nahar emphasized that SK Hynix has a strong grip on the HBM market, with 58% share, and they're Nvidia's main partner for the latest chips, noting that "once a supplier gets into a big customer's plans, it's tough to switch, so that advantage sticks."
