SK Hynix Lists on Nasdaq Today, Secures 37 Trillion Won for Expansion Drive

SK Hynix is set to tighten its grip on the global semiconductor market by listing American Depositary Receipts (ADRs) on the Nasdaq, securing 37 trillion won in investment capital.
With memory demand continuing to rise, the company aims to solidify its market leadership by injecting the funds raised from the listing into expanding production capacity and strengthening product competitiveness.
According to industry sources on July 10, SK Hynix ADRs are scheduled to be officially listed and begin trading on the Nasdaq market today.
To this end, SK Hynix has decided to issue up to 17.79 million new shares, representing approximately 2.5% of its total outstanding shares.
The proceeds from the public offering, estimated at 37 trillion won, are expected to be paid to the company on July 14.
With this as a catalyst, SK Hynix plans to further accelerate the expansion of its semiconductor production capacity (CAPA).
The company disclosed that the funds raised will be used for construction and facility investments, including the first fab at the Yongin Semiconductor Cluster, the Cheongju P&T7 advanced packaging fab, and machinery.
It will also invest 11.9 trillion won in the introduction of extreme ultraviolet (EUV) lithography equipment, which is scheduled to be installed by the end of next year.
Despite concerns raised in some quarters about a "peak out"—a scenario where growth slows after reaching a peak—the consensus remains that the global memory semiconductor market will continue to grow.
Market research firm Counterpoint Research recently projected that the average operating profit margin of the three major global memory companies would reach 75–80% in the second quarter of this year, anticipating that this boom driven by supply shortages would continue at least until 2027.
Overseas, Micron's recent 14 trillion won investment to build a next-generation high-bandwidth memory (HBM) production line in Hiroshima, Japan, is also interpreted as an effort to maximize the effects of this supercycle.
Domestically, global competition to increase semiconductor production is intensifying, with projects such as the Honam region semiconductor cluster being developed at the Gwangju Military Airport as part of the government's three major mega-projects.
The Nasdaq listing is expected to not only bring in a massive influx of cash but also serve as a catalyst for long-term fundraising by facilitating a revaluation of the company's value.
Although SK Hynix is the undisputed world leader in the HBM market and maintains a significant gap over Micron, which ranks third in both global DRAM market share and operating profit, its price-to-earnings ratio (PER) is evaluated 20–40% lower than that of Micron.
SK Hynix expects this listing to serve as an opportunity to resolve this undervaluation by enhancing global investment accessibility.
SK Group Chairman Chey Tae-won said regarding the push for an ADR listing earlier this year, "It will allow us to be exposed not only to Korean shareholders but also to U.S. and global shareholders, which will help us become a more global company."
There are also consecutive forecasts that global asset managers, pension funds, and passive funds will flow in following the Nasdaq listing.
Analysts also suggest that the goal of achieving 100 trillion won in net cash to secure financial stability for stable investment has become closer to being reached through this listing.
SK Hynix believes that since the new shares being issued are limited to about 2.5% of the total, the benefits of enhanced global investment accessibility and additional capital inflow will outweigh the effects of shareholder value dilution.
Furthermore, the company plans to actively communicate with the market and prepare concrete shareholder return plans within this year.
※ Please note: This article was translated by AI and may contain errors.