SK Hynix Shelves Solidigm IPO Plans Amid Chip-Stock Correction and Market Volatility: Says Does Not Reflect Any Change in 'Growth Prospects or Investment Needs'

On Friday, SK Hynix Inc. (NASDAQ:SKHY)/a> said it has put on hold a planned U.S. listing of its Solidigm chip unit, citing capital market conditions and share price trends, in another sign that market volatility is chilling the IPO market.

IPO Plan Collides With Chip-Stock Correction

In a statement, SK Hynix said the decision "does not reflect any change in Solidigm's growth prospects or investment needs."

The company added that financial market volatility has contributed to a broader correction in semiconductor stocks, and that it will keep assessing the timing, scale, and financing of Solidigm's investments.

"In light of recent capital market conditions and share price trends, Solidigm determined that it was necessary to reassess whether an IPO would be the most beneficial option for SK hynix and its existing shareholders at this time," the company added.

The share sale ​could have raised $15 billion and valued the unit at $150 billion, Reuters reported, citing people familiar with the matter.

Sentiment toward AI and chip stocks has retreated sharply this month as investors fret that soaring costs for AI infrastructure and higher borrowing costs could squeeze spending and strain the debt behind the buildout./p> div class="bz-read-next-block" data-variant="card" data-news-mode="manual" >

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Seoul Scrutiny, Washington Pressure Complicate Solidigm Plans

South Korea's Financial Supervisory Service has been examining whether the listing could violate dual-listing restrictions tightened in July.

SK Hynix, which became dual-listed with a debut of ADRs on the Nasdaq in July, has seen its shares fall 21.62% year-to-date.

The pressure from Washington is also building. President Donald Trump and Commerce Secretary Howard Lutnick demanded that half of all chips used in the U.S. be manufactured in America.

IPO Window Narrows

The pause comes as new listings thin out with the total number of Nasdaq listings falling to 167 in the third quarter, from 205 in the same period last year.

OpenAI has ruled out a 2026 IPO, while Anthropic is reportedly targeting a debut in the coming weeks.

Last month, smart-ring maker Oura postponed its planned $2.2 billion U.S. listing.

Price Action: On Thursday, SK Hynix's Nasdaq-listed ADRs fell 8.07% to close at $131.69 and gained 4.60% to $137.75 in early premarket trading on Friday.

In Seoul, shares closed 4.42% higher on Friday, with the KOSPI index ending the session 0.30% higher.

Benzinga Edge rankings indicate SK Hynix's ADR has a Growth score in the 98th percentile and a Value score in the 63rd percentile. /p> div class="bz-see-more-ranking-block" data-ranking="value" data-theme="light" data-variant="basic" >

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Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.

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