Exclusive-SK Hynix's Solidigm weighs IPO that could value the unit at up to $150 billion, sources say

South Korea's SK Hynix Inc. is considering an initial public offering (IPO) for its U.S.-based subsidiary, Solidigm, which could potentially be valued at up to $150 billion, according to sources. Solidigm, based in Rancho Cordova, California, is a NAND flash memory and solid-state drive (SSD) unit of SK Hynix. The company held pitch meetings with investment banks this week to gauge interest in the IPO, known as a "bake-off" in the industry.

If the IPO proceeds as planned, Solidigm could raise $15 billion, making it one of the largest semiconductor listings on record. The listing would also capitalize on strong investor demand for companies related to artificial intelligence infrastructure, which has driven gains in semiconductor and hardware stocks. SK Hynix acquired Intel's NAND memory and SSD business for about $9 billion in 2020, integrating it with Solidigm, which was established as a standalone subsidiary in 2021.

The company's focus is on high-capacity storage products tailored for AI applications, where the demand for increasingly sophisticated storage solutions is on the rise.