SK Hynix launches $28 billion US listing, draws $7 billion in investor interest

July 6 (Reuters) - South Korean chipmaker SK Hynix connected Monday launched a U.S. stock merchantability to rise 43 trillion won ($28.07 billion) and drew indications of involvement for up to $7 cardinal from large investors, arsenic it capitalises connected the planetary AI roar with 1 of the world's largest caller stock sales.

Baillie Gifford Overseas, concern funds managed by Coatue Management and Situational ‌Awareness Partners person each separately indicated involvement successful buying up to a combined $7 cardinal worthy of SK Hynix's American depositary receipts, oregon ADRs, SK Hynix said.

Baillie Gifford Overseas declined to comment, portion ‌Coatue Management and Situational Awareness Partners did not instantly respond to a petition for comment.

The institution volition merchantability 17.79 cardinal caller shares done the ADRs connected the Nasdaq; 10 ADRs volition correspond 1 communal stock and a Monday filing gave a notation terms of 242,500 ​won per ADR, based connected SK Hynix's July 3 closing terms successful Seoul.

The woody comes arsenic Asian spot companies pat beardown planetary request for AI-related stocks. Taiwan's Unimicron Technology is besides seeking to rise astir $1.4 cardinal done a merchantability of planetary depositary shares, oregon shares listed overseas that correspond its section stock.

SK Hynix's shares ended Monday down 3.4% astatine 2,343,000 won, but the banal is inactive up astir 260% this year. South Korea's KOSPI was down 0.5% connected Monday.

Memory spot stocks person been volatile successful caller sessions owed successful portion to renewed capitalist concerns astir however agelong the roar would last.

"We are successful the midst of a representation ace cycle, with each 3 large suppliers - ‌Samsung, SK Hynix, and Micron - riding the AI driven request wave," said Di ⁠Zhou, portfolio manager astatine Santa Fe, New Mexico-based Thornburg Investment Management with $60 cardinal successful assets. It owns SK Hynix's Korean mean shares.

She added that SK Hynix's ADR listing was affirmative due to the fact that it would broaden the company's capitalist basal and perchance constrictive its valuation spread with U.S. rival Micron.

"While marketplace volatility has been rather precocious recently, I ⁠would expect request for SK Hynix shares to stay comparatively robust," said Albert Yong, a managing spouse astatine Petra Capital Management.

South Korea past week unveiled a sweeping concern strategy centred connected semiconductors and AI, including a $576 cardinal spot concern programme successful the country's southwest to assistance dispersed returns from the boom.

SK Hynix and Samsung Electronics volition anchor the concern program, the authorities said.

South Korean President Lee Jae Myung connected Monday ordered officials to determination rapidly to get to enactment connected ​major ​chip and AI projects announced past week.