Key facts
- SK Hynix plans to list on the Nasdaq in the US as early as August.
- The company chose Nasdaq over the New York Stock Exchange.
- The listing aims to broaden SK Hynix's investor base and global profile.
- SK Hynix is a key supplier of high-bandwidth memory chips for AI servers.
- The company confidentially filed for a US listing in March.
- The offering could potentially raise up to $14 billion.
South Korean memory chipmaker SK Hynix is reportedly planning to list on the Nasdaq in the United States as early as August, according to sources familiar with the matter. The company has opted for the technology-focused exchange to leverage investor enthusiasm for artificial intelligence-related stocks.
This planned listing follows a significant surge in SK Hynix's share price, which has risen 230% this year, pushing its market value above $1 trillion in May. The US listing is intended to expand its global investor base and enhance its international profile. SK Hynix chose Nasdaq over the New York Stock Exchange.
As the world's second-largest memory chip manufacturer and a crucial supplier to Nvidia, SK Hynix has benefited greatly from the AI boom, particularly due to its leading position in high-bandwidth memory chips essential for AI servers. Analysts suggest that Nasdaq historically offers higher valuations for technology and growth companies compared to the NYSE, a factor that may have influenced SK Hynix's decision, especially considering its peer Micron's valuation on the same exchange.
Furthermore, the exchange's significant weighting in passive investment funds, which now represent a larger portion of global investment flows than active funds, makes it an attractive venue for technology firms. SK Hynix had confidentially filed for a US listing in March, with one source indicating the offering could raise as much as $14 billion. The US Securities and Exchange Commission is expected to approve the listing during the week of June 22.