SK Hynix puts Solidigm’s US IPO on hold amid shareholder concerns
A listing had been under consideration to help fund a new US factory and meet surging demand for chips in AI data centres.
South Korea's SK Hynix has suspended the planned US listing of its Solidigm chip unit due to market volatility and concerns over potential dilution of shareholder interests. The decision comes after South Korean authorities raised worries that the deal may undermine shareholder interests. Solidigm, a former Intel business specializing in NAND flash memory and solid-state drives, was considered to help fund a new US factory and meet growing demand for chips in AI data centers, potentially raising US$15 billion and valuing the unit at US$150 billion.
SK Hynix plans to continue exploring ways to fund Solidigm's expansion and enhance shareholder value through future investments, but the move does not reflect any change in the AI business's growth prospects or investment needs. The company has not yet revealed how the decision will be received by the US administration, which has been pressuring foreign chipmakers to build new facilities in the country.
Written by urgent.news from Free Malaysia Today's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
