GoKawiilIllustration of the SK Hynix company logo seen displayed on a smartphone screen.
South Korea's SK Hynix on Wednesday confirmed that it is weighing a U.S. listing as the memory chipmaker's valuation soars on global demand for artificial intelligence hardware.
The company at the center of the AI infrastructure boom said in a regulatory filing that it was "reviewing various measures to enhance corporate value, including a U.S. stock market listing utilizing treasury shares," while noting that no final decision has been made.
A U.S. listing would give American investors direct access to SK Hynix shares, which have surged nearly 230% so far this year in trading in Seoul on the back of strong AI demand.
The Korea Exchange on Tuesday asked SK Hynix to address a Korea Economic Daily report that the company had received proposals to list about 2.4% of its shares as American depositary receipts (ADRs) backed by treasury stock.
ADRs are tradable certificates issued by U.S. banks that represent shares in a foreign company. While they tend to trade with lower liquidity than a full U.S. listing, which can deter some investors, ADRs use existing shares rather than new stock, preserving value for existing shareholders.
SK Hynix holds treasury shares equivalent to about 2.4% of its issued stock, according to the company's investor relations website.
Shares of SK Hynix rose 4% on Wednesday following its statement, before paring gains on Thursday, trading over 2% lower.
The company has cemented its lead in high-bandwidth memory chips, which are used in Nvidia's AI processors.
A U.S. listing could help narrow valuation gaps between the company and U.S.-listed memory rival Micron Technology , as well as Samsung Electronics .
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