Particle.news
Download on the App Store
3 ARTICLES
·
last mo.

SK Hynix Negotiates 0.5% Fee for Mega U.S. ADS/ADR Offering

Banks are discussing an unusually low underwriting payout that would cut costs on a giant capital raise to speed the company’s high‑bandwidth memory expansion.

The SK hynix logo in this illustration taken June 11, 2026. REUTERS/Dado Ruvic/Illustration/File Photo
Image

Overview

  • Reporters say SK Hynix is negotiating a base underwriting fee of about 0.5% with Bank of America, Citigroup, Goldman Sachs and JPMorgan for its planned U.S. ADS/ADR sale.
  • The company has indicated it may sell up to 2.5% of its shares in the offering, which market context values at roughly $26.5 billion based on a $1.1 trillion market capitalization.
  • A 0.5% fee would be small by U.S. practice, where large listings typically pay more than 1%, and it would be lower than the roughly 0.67% reported for SpaceX’s deal.
  • The planned listing still faces regulatory and execution risks, including pending U.S. clearance, a disclosed putative antitrust lawsuit, and sharp short‑term price swings in Seoul trading.
  • Proceeds are intended to fund big capital projects such as new fabs, EUV equipment purchases and expanded HBM capacity to meet AI demand from customers like Nvidia, but those projects carry complex build and yield risks.