SK Hynix, the South Korean memory chip giant powering Nvidia's AI accelerators, is launching a major US share offering on Nasdaq. The company plans to raise between $28 billion and $29.4 billion through American Depositary Receipts, marking one of the largest foreign share sales in US history.
Demand has surged, with cornerstone investors committing over $7 billion. The offering of approximately 177.9 million ADRs, priced near $149 each, could yield around $26.5 billion. SK Hynix's stock has more than tripled in value during 2026.
The capital will fund new chip fabrication facilities in South Korea and the purchase of advanced EUV lithography scanners from ASML. A new fab is expected to come online in the first half of 2027, with the broader buildout potentially increasing production capacity by 60% by 2030.
SK Hynix is the dominant supplier of high-bandwidth memory chips essential for Nvidia's AI processors. The Nasdaq listing also aims to narrow the valuation gap with US-traded competitor Micron Technology.
The memory chip market remains cyclical. A significant capacity increase carries risk if demand falters, as seen in the 2023 downturn.