SK Hynix has set the price for its American Depositary Receipts (ADR) at $149 per share, approximately 220,000 won. ADRs allow foreign companies to trade their shares on U.S. stock exchanges. The company is expected to raise about $26.5 billion (around 40 trillion won) from this listing.
Bloomberg reported on July 9, citing sources, that the ADR price was confirmed at $149 per share, matching the previously indicated target price. SK Hynix did not respond to requests for comment.
The $149 price is about 3.1% higher than the closing price of SK Hynix's common stock on the Korean stock market, when converted to ADR terms. According to the U.S. Securities and Exchange Commission (SEC), one ADR represents one-tenth of a common share of SK Hynix.
SK Hynix plans to issue 177.9 million ADRs in this offering. At the set price of $149, the total amount raised is expected to reach approximately $26.5 billion (around 40 trillion won).
This amount surpasses the $25 billion (about 38 trillion won) raised by Alibaba during its U.S. listing in 2014. If completed as planned, it will be the largest listing by a foreign company on the U.S. stock market to date.
Investor demand has also been strong. Bloomberg reported that orders for SK Hynix's ADR exceeded seven times the amount available. The total order volume is said to have reached approximately $200 billion (around 302 trillion won).
Large long-term investment funds, technology-focused funds, sovereign wealth funds, and Asia-focused global investors have reportedly participated significantly in the offering. This reflects the growing interest from global investors in SK Hynix, driven by demand for AI semiconductors.
* This article has been translated by AI.
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