SK hynix (000660.KS) was up 6% in the NextTrade (NXT) pre-market on the 10th. Samsung Electronics (005930.KS) also gained more than 4%, with strength concentrated in large-cap semiconductor stocks. The IPO price of SK hynix's American Depositary Receipts (ADRs) was finalized at $149 per share, while the three major U.S. stock indexes all closed higher on the New York exchange overnight.
According to NextTrade, as of 8:08 a.m., SK hynix was trading at 2.324 million won, up 6.31% from the previous session. Samsung Electronics changed hands at 289,500 won, up 4.14%, while SK Square, the third-largest stock by KOSPI market capitalization, rose 7.39%. Most of the top stocks by market cap were rising, and the strength is expected to continue in the regular session.
SK hynix announced on the 10th that it had set the initial public offering (IPO) price for 177.9 million ADRs at $149 per share. Considering that one ADR corresponds to one-tenth of a Korean common share, the offering price is about 2.9% higher than SK hynix's common share closing price of 2.186 million won the previous day. SK hynix is raising a large sum of $26.507 billion (about 40 trillion won) through this offering, and the high ADR price is interpreted as reflecting strong investment demand.
U.S. markets closed higher overnight as expectations for expanded artificial intelligence (AI) infrastructure investment took hold again. Semiconductor stocks surged, sending the Nasdaq Composite up 1.30%, with all three major stock indexes gaining. Micron Technology's shares rose 4.5% after it announced a plan to invest more than $250 billion by 2035 to meet rising AI demand, while Meta also gained 4.7%.
Han Ji-young, a researcher at Kiwoom Securities, said, "The market today is expected to show strength on the back of favorable factors from the U.S., including expectations for the U.S. and Iran returning to negotiations and the Philadelphia Semiconductor Index rebounding for two consecutive sessions, along with KOSPI 200 night futures rising about 4.5% and an inflow of bargain-hunting buying following the 9% correction during the week."
