Key facts
- SK Group Chairman Chey Tae-won will attend SK hynix Inc.'s ADR listing ceremony on Nasdaq.
- The ceremony is scheduled for Friday (local time) in New York.
- SK hynix aims to raise up to $29.4 billion through a stock offering linked to the ADR listing.
- The funds will be used for investments in new production facilities and advanced chip packaging in South Korea.
- Chey is also expected to meet with executives from U.S. tech firms like Nvidia and Tesla.
SK Group Chairman Chey Tae-won is set to visit the United States to participate in the listing ceremony for SK hynix Inc.'s American depositary receipts (ADRs) on the Nasdaq market. Chey, along with SK hynix CEO Kwak Noh-jung and other executives, is scheduled to attend the event in New York on Friday, local time.
During the ceremony, SK hynix management is expected to highlight the company's technological capabilities and long-term growth strategy to a global investor audience. The memory chip manufacturer intends to raise as much as 45.45 trillion won (approximately US$29.4 billion) through a stock offering associated with its ADR debut. These newly issued shares are slated to be priced at 2.55 million won and will be listed on July 29, with each ADR valued at 255,500 won.
The proceeds from this offering are earmarked for significant investments in production facilities. Specifically, the funds will support the construction of a new semiconductor fabrication plant and an advanced chip packaging facility within South Korea. This U.S. listing follows SK hynix's March announcement of its intention to seek a listing on a U.S. exchange, aiming to expand its reach to international investors and bolster its expansion in the artificial intelligence (AI) sector.
ADRs are financial instruments issued by U.S. banks that represent shares of foreign companies, providing U.S. investors access to these stocks without the companies needing to list their common stock directly on a U.S. exchange. During his U.S. visit, Chairman Chey is also anticipated to hold meetings with executives from prominent American technology firms, including Nvidia and Tesla, according to industry sources.