Key facts
- SK Hynix is set to raise between $24.5 billion and $28 billion through its IPO.
- The SK Hynix IPO has reportedly been oversubscribed more than seven times.
- China's CXMT is launching a $4.3 billion IPO on the Shanghai stock exchange.
- Proceeds from these IPOs will fund AI infrastructure and advanced chipmaking.
- The trend suggests capital is shifting from crypto assets to AI infrastructure plays.
SK Hynix is poised to launch a significant IPO, aiming to raise between $24.5 billion and $28 billion through the sale of American depositary receipts. The offering, scheduled for July 10, has reportedly been oversubscribed more than seven times, attracting interest from global funds and technology investors. Proceeds will be used to expand manufacturing capacity and acquire advanced equipment to meet surging AI demand.
Following this, China's Changxin Memory Technologies (CXMT), the country's largest DRAM maker, is set to begin book building on July 15 for a $4.3 billion IPO on the Shanghai stock exchange. CXMT plans to use the funds to upgrade its production lines and technology, following substantial revenue growth.
These substantial listings in the AI infrastructure space follow recent IPOs from SpaceX and Cerebras, reinforcing a trend where investors are prioritizing capital allocation towards companies building the backbone of artificial intelligence. This shift in investment focus is occurring as Bitcoin has seen a significant price decline from its previous all-time high, suggesting a potential diversion of capital away from cryptocurrencies towards AI-related assets.