SK Hynix Bets Big on AI with $28 Billion Nasdaq Listing

South Korean chipmaker SK Hynix has launched one of the largest share sales in the world, aiming to raise around $28 billion through a new listing on the Nasdaq stock exchange. The move places the company among the most valuable technology firms globally and signals growing confidence in the AI-driven semiconductor market.

The company is selling 17.79 million new shares through American Depositary Receipts (ADRs), where every ten ADRs represent one common share. The final pricing is expected to be announced on Thursday, with trading set to begin on Friday.

SK Hynix’s stock has had a remarkable run this year, up nearly 273%, driven largely by surging investor appetite for AI-related companies. The chipmaker is best known as a key supplier of high-bandwidth memory (HBM) chips, which power AI systems built by companies like Nvidia and Google. Its strong position in the HBM market has helped it outperform major rivals Samsung Electronics and Micron in recent months.

The funds raised from this listing will go directly into expanding manufacturing capacity, building new chip factories in South Korea and purchasing advanced chipmaking equipment, including extreme ultraviolet scanners.

The US listing is seen as a significant step for SK Hynix, which has until now been primarily accessible to investors through the Korean Stock Exchange. Analysts note that the Nasdaq listing removes what many call an “accessibility discount”, large US institutions that wanted exposure to SK Hynix often had to do so indirectly through ETFs or other instruments.

The listing also comes at a time when South Korea is making semiconductor dominance a national priority. The government last week unveiled a $576 billion chip investment program, with SK Hynix and Samsung Electronics as anchor participants. South Korean President Lee Jae Myung has urged officials to fast-track approvals and infrastructure work to ensure the country doesn’t lose ground in the global AI race.

Despite some recent volatility in memory chip stocks, driven by investor questions about how long the AI boom will last, market watchers expect demand for SK Hynix shares to remain strong given its central role in AI infrastructure globally.