SK Hynix Inc. is embarking on a landmark U.S. listing, seeking to raise 45.45 trillion won ($29.4 billion) to boost its capacity in response to the surging demand for memory chips within the artificial intelligence supply chain. This substantial offering could rank among the top five share sales globally, potentially rivaling Saudi Aramco's record-setting 2019 initial public offering.
The South Korean memory chip giant's move highlights the intense race among AI supply chain companies to scale up production. The funds raised from the listing are earmarked for significant investments, including the construction of a new chip factory in Yongin, an advanced packaging fabrication plant in Cheongju, and the acquisition of critical chipmaking equipment like Extreme Ultraviolet (EUV) scanners.
This strategic financial maneuver is poised to be the largest American Depositary Receipt (ADR) offering ever, surpassing Alibaba's $21.8 billion New York debut in 2014. SK Hynix, a dominant supplier of high-bandwidth memory chips to major AI players like Nvidia and Google, has emerged as a primary beneficiary of the global AI expansion, recently becoming South Korea's most valuable company, overtaking Samsung Electronics.
