Strong investor interest highlights confidence in the AI memory chip leader as the company raises funds to expand production capacity.
SK Hynix’s proposed $28 billion share sale has attracted demand exceeding seven times the number of shares on offer, reflecting strong investor confidence in the South Korean memory chipmaker and the continued growth of the artificial intelligence (AI) semiconductor market.
According to a person familiar with the matter, the offering has generated overwhelming interest from institutional investors as the company seeks capital to expand manufacturing capacity and invest in new production facilities to meet rising demand for AI memory chips. The individual requested anonymity as the details of the transaction are confidential.
Following the news, SK Hynix shares rose around 6% in morning trading.
The fundraising is expected to become one of the world’s largest equity offerings this year, following SpaceX’s record-breaking $85.7 billion initial public offering last month. Pricing for the share sale is expected after the South Korean market closes on Thursday, with investor allocations to be finalized later in the U.S. trading session, according to market sources.
Although semiconductor stocks have seen increased volatility in recent weeks, AI-driven demand continues to underpin the sector’s long-term growth. SK Hynix shares have fallen roughly 25% over the past two weeks amid broader market weakness, but the stock remains up nearly 680% over the last year.
The company has emerged as the leading supplier of high-bandwidth memory (HBM) chips used in Nvidia’s AI accelerators, positioning it at the heart of the global AI infrastructure boom. Years of investment in advanced memory technologies have enabled SK Hynix to capitalize on soaring demand from hyperscale data centers and AI server manufacturers.
The proceeds from the share sale are expected to support further expansion of the company’s manufacturing footprint and strengthen its ability to serve the rapidly growing AI semiconductor market, where demand for high-performance memory continues to outpace supply.
