SK Hynix’s Offering Attracts $7B Interest From Investment Firms – This Investor Believes Demand Will ‘Remain Relatively Robust’

According to an SEC filing on Monday, funds managed by Baillie Gifford, Coatue Management, and Situational Awareness Partners have expressed interest in purchasing up to $7 billion of SK Hynix’s ADS.

• The company plans to issue up to 177.9 million new American depositary shares .
• The filing mentioned a reference price of KRW242,500 per ADS ($158.14), based on SK Hynix’s closing price on July 3.
• SK Hynix had previously mentioned that proceeds from the offering would be used for general corporate purposes, including capital expenditures.

South Korean chipmaker SK Hynix (SKHY) has kicked off a massive U.S. share sale worth about $28.1 billion, taking a major step toward its Nasdaq Global Select Market debut.

According to an SEC filing on Monday, the company plans to issue up to 177.9 million American depositary shares (ADSs). 

The filing mentioned a reference price of KRW242,500 per ADS ($158.14), based on SK Hynix’s closing price on July 3. Reuters previously reported that the ADSs are expected to be priced at $166 each.

IPO Receives Strong Interest

The filing noted that several major investors, including funds managed by Baillie Gifford, Coatue Management, and Situational Awareness Partners, have expressed interest in purchasing up to $7 billion of the ADSs offered in the IPO at the same price and on the same terms as other investors.

The offering is also structured to ensure that SK Square, the company’s largest shareholder, retains at least a 20% ownership stake, in line with South Korean regulations.

“While market volatility has been quite high recently, I would expect demand for SK Hynix shares to remain relatively robust,” Albert Yong, managing partner at Petra Capital Management, told Reuters.

Funds to Support Chip Manufacturing Expansion

SK Hynix had previously mentioned that proceeds from the offering will be used for general corporate purposes, including capital expenditures. The company is expected to invest in new semiconductor manufacturing facilities in South Korea and purchase advanced Extreme Ultraviolet (EUV) lithography equipment to expand production capacity.

The share sale comes as South Korea pushes to strengthen its semiconductor leadership. Last week, Samsung Electronics, SK Hynix, and the South Korean government unveiled plans to invest about $590 billion in a new chip manufacturing hub.

Retail’s Take On Key Semi ETFs

Meanwhile, retail sentiment surrounding the Roundhill Memory ETF (DRAM) turned ‘bullish’ from ‘extremely bullish’ a day earlier, while sentiment for iShares Semiconductor ETF (SOXX) remained ‘bullish’ over the past 24 hours.

DRAM is up nearly 8% in pre-market trading and has gained roughly 118% so far in 2026, while SOXX rose 3.7% and has gained around 81% so far this year. 

(KRW1 = $0.00065)

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