SK Hynix Lists on Nasdaq Today, Raising Record-Breaking 40 Trillion Won

[Anchor]

American Depositary Receipts (ADRs) of SK Hynix will be listed on the Nasdaq market tonight, July 10. The company plans to use the large-scale investment capital to expand its production capacity in response to the surging demand for AI semiconductors.

Reporter Choi Seung-hun has the story.

[Reporter]

Starting trading on the Nasdaq market today are the ADRs of SK Hynix.

By issuing new shares equivalent to approximately 2.5% of its total outstanding shares, the company is raising a total of 26.57 billion dollars, or about 40 trillion won in Korean currency.

This marks the largest-ever listing by a foreign company on the U.S. stock market.

SK Hynix has decided to invest these funds into expanding its production facilities.

The plan is to utilize the capital for the construction of the first fab at the Yongin Semiconductor Cluster and an advanced packaging plant in Cheongju.

Additionally, 11.9 trillion won will be allocated for Extreme Ultraviolet (EUV) lithography equipment to be brought in by the end of next year.

The strategy is to proactively increase production capacity as demand for memory semiconductors, including High Bandwidth Memory (HBM), continues to rise.

While there are concerns that the memory market cycle may have peaked, the market is leaning toward the possibility that the boom driven by supply shortages will continue through next year.

Some observers suggest that this listing could lead to a re-evaluation of the company's corporate value, beyond simple capital procurement.

Although SK Hynix is a leader in the HBM market, its price-to-earnings ratio remains lower than that of U.S.-based Micron.

Securities analysts interpret that the Nasdaq listing could narrow this valuation gap by increasing accessibility for U.S. and global investors.

However, the dilution of existing shareholders' stakes due to the issuance of new shares remains a burden.

SK Hynix maintains that the effects of expanded investment and the influx of global capital will be greater, and has announced that it will prepare specific shareholder return plans within the year.

(Video by So Ji-hye)
※ Please note: This article was translated by AI and may contain errors.