SK Hynix wins investor backing for massive US listing

South Korean chipmaking giant SK Hynix has received "tremendously positive" backing from its shareholders for an ambitious proposed U.S. listing, riding an absolute tidal wave of global artificial intelligence demand.

The memory-chip titan—a premier supplier for tech powerhouse Nvidia—confided in investors this week that its Wall Street debut has received overwhelming stockholder support. While SK Hynix has filed confidentially with the U.S. Securities and Exchange Commission (SEC), previous estimates indicate the initial public offering (IPO) could raise a staggering $14 billion. The move is strategically designed to bypass local restrictions and tap directly into massive U.S. institutional funds that are strictly mandated to only buy U.S.-listed equities, News.Az reports, citing Reuters.

The listing plan caps off a historic run for the tech firm, which watched its share price explode by 250% over the past year, recently crossing the eye-watering $1 trillion market cap milestone to become Asia's third most valuable company.

Driving this financial frenzy is a severe global supply shortage of premium memory chips. SK Hynix told investors it expects lucrative, premium pricing for its high-bandwidth memory (HBM) chips to coast well into next year. Furthermore, massive new orders from Nvidia for low-power LPDDR memory—vital components required to fuel Nvidia’s newly mass-produced "Vera Rubin" next-generation AI platform—are anticipated to choke the broader memory market supply starting in 2027.

Though SK Hynix confirmed plans to issue American Depositary Receipts (ADRs) within the year, the exact size and timing remain under regulatory review. For eager investors, the message is clear: AI demand is rapidly outpacing what factories can realistically supply.

News.Az 

By Aysel Mammadzada