SK Hynix is going public in the US. The South Korean memory chipmaker plans to sell nearly 17.8 million shares. If they sell well, it could raise around $28 billion.
The company will offer American depositary receipts — certificates that let US investors buy foreign stocks without trading on an overseas exchange. Each ADR represents a tenth of a common share. Pricing happens Thursday. Trading starts Friday.
Why now? AI. Plain and simple.
Systems that run AI are incredibly memory-hungry. High-bandwidth memory, DRAM, NAND — the chips that store and move data inside AI systems — are in short supply. Hyperscalers like Amazon, Microsoft, Google, and Oracle are racing to build AI factories. New data centers are multiplying nationwide. Demand has outpaced supply.
The situation has been called “RAMageddon.” Apple execs say the shortage is forcing them to raise prices on Macs and iPads.
SK Hynix’s first-quarter revenues were up nearly 200% year-over-year. Its stock is up about 260% this year. South Korean tech companies — led by SK Hynix and Samsung — have pledged over $550 billion to build new manufacturing capacity.
That’s actually risky. By the time those factories are running, memory needs might shift. More supply than demand. Crashing prices. But Wall Street isn’t thinking about that today. They’re looking for the next Nvidia. Memory chipmakers are the closest thing they’ve got.
Micron, the closest US comparison, has shot up nearly 700% over the past year to a trillion-dollar valuation. Same AI-driven demand story. Same rally.
SK Hynix wants a piece of that. And US investors are about to get their chance to buy in.
