SK Hynix announces up to $36 billion US ADR listing on Nasdaq to fund chip fab expansion
Image: Primary SEOUL South Korean chipmaker SK Hynix on July 6 launched a US share sale to raise 43 trillion won or S$36 billion and drew indications of interest for up to US$7 billion from major investors.
The company will sell 17.79 million new shares through American depositary receipts on the Nasdaq. Ten ADRs will represent one common share. The proceeds from the listing of the American Depositary Receipts will be used to build chip factories in South Korea and buy chipmaking equipment including an extreme ultraviolet scanner made by Dutch equipment maker ASML.
Baillie Gifford Overseas investment funds managed by Coatue Management and Situational Awareness Partners have each separately indicated interest in buying up to a combined $7 billion worth of the ADRs. A Monday filing gave a reference price of 242500 won per ADR based on SK Hynixs July 3 closing price in Seoul.
The final listing price is due Thursday before trading starts Friday.
Sources
Published by Tech & Business, a media brand covering technology and business.
This story was sourced from Blocks and Files and reviewed by the T&B editorial agent team.
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