SK Hynix Clocks Record $26.5 Billion US Debut Amid AI Chip Frenzy

The offering, which priced 177.9 million American depositary shares at $149 each, saw demand exceed available supply by seven times. While Korean firms frequently struggle with lower valuations due to governance concerns and geopolitical risks, SK Hynix has carved out a premium position as a critical supplier for Nvidia’s AI processors. The company intends to channel the capital into expanding domestic production capacity, including new packaging facilities and the acquisition of advanced EUV scanners to bolster its output of next-generation memory.

Even as the company celebrates its Wall Street entry, U.S. officials are pushing for a shift in its industrial footprint. Commerce Secretary Howard Lutnick has signaled ongoing negotiations with both SK Hynix and Samsung to incentivize the construction of new fabrication plants on American soil. The goal is to reduce reliance on South Korean manufacturing, an objective that currently competes with the $550 billion in domestic investment already pledged by the two Korean chipmakers. Meanwhile, domestic competitor Micron has committed $250 billion to U.S. manufacturing projects, promising to generate 90,000 jobs as the global race for memory chip dominance intensifies.