SK Hynix (HXSCL), a South Korea-based semiconductor manufacturer focused on memory chips used in AI computing, is preparing a $29 billion US stock-market listing that could become the biggest-ever first-time share sale by a foreign company. The Nasdaq listing, expected on July 10, comes as investors continue to chase exposure to AI-related chip stocks, with high-bandwidth memory emerging as one of the hottest areas of the market.
For US investors, the offering could make SK Hynix easier to own after years of limited access through South Korea-listed shares or thinly traded over-the-counter ADRs. The listing may also help narrow SK Hynix's long-running valuation gap with Micron Technology NASDAQ:MU, the US memory-chip maker whose shares have surged 242% this year, even after falling 14% last week in their worst performance since March.
The timing is powerful but risky. SK Hynix's Korea-listed shares and Micron have each gained about 700% over the past 12 months, while other memory and storage stocks have also soared on AI demand. Investors may view SK Hynix's US listing as a cleaner way to participate in the AI memory cycle, but the sector's boom-and-bust history, heavy capacity spending and concerns about a possible supply glut mean the deal could test just how far the AI chip rally can run.