Shares Stage Strong V-Shaped Recovery. Memory Chip Giant SK Hynix Plans $26 Billion US ADR Sale

TradingKey - Following Samsung Electronics, SK Hynix accelerates its ADR process, boosting its stock price and sparking an afternoon V-shaped recovery for the KOSPI index.

During the Asian trading session on June 24, stimulated by the positive news of "accelerating the issuance of $26 billion in ADRs in the U.S.," South Korean memory chipmaker SK Hynix's stock price staged a retaliatory rebound in the afternoon, keeping its share price above 2.6 million KRW, up 2.94%.

SK Hynix stock price chart, Source: TradingView

According to the latest report by The Korea Economic Daily, SK Hynix plans to formally submit filings to South Korean financial regulators to accelerate its plan to issue American Depositary Receipts (ADRs) in the U.S., which is expected to raise $26 billion, far higher than the previously rumored fundraising scale of $10 billion.

Yesterday, the South Korean stock market triggered circuit breakers twice, with the KOSPI index tumbling about 10%, while both SK Hynix and Samsung Electronics plummeted over 12%. This morning, market rumors suggested that Samsung Electronics plans to buy back about 90 trillion won (approximately $59 billion) of its shares, boosting South Korean stocks overall, with SK Hynix rebounding in tandem.

In the morning session, South Korean stocks defended the broader market on rumors of "Samsung Electronics' epic 90 trillion won share buyback," forcing short-covering. In the afternoon, the news of Hynix "accelerating its $26 billion U.S. ADR" added fuel to the fire. As the two memory giants demonstrated their power simultaneously, a super short squeeze swept the entire market, reflecting that global capital still has an incredibly voracious appetite for the South Korean duo who "control the lifeblood of AI memory."