Nasdaq president calls SK hynix listing a 'blockbuster,' sees wave of foreign IPOs

SK hynix's blockbuster Nasdaq debut could open the door for other foreign companies to enter US capital markets. With investor demand for AI chipmakers confirmed in the world's largest capital market, analysts say discussions around initial public offerings and American depositary receipt issuances by global firms are likely to intensify.

Nelson Griggs, president of Nasdaq, told Bloomberg TV on Friday that SK hynix's landmark listing was prompting other foreign companies to consider pursuing IPOs or ADR sales in US financial markets. Bloomberg described the listing as a "blockbuster."

An ADR is a depositary receipt that allows shares of a foreign company to be traded on US exchanges. Even companies already listed on their home markets can use ADRs to reach US investors — the same approach SK hynix, which is listed on the Korea Exchange, used to establish a separate trading base in the United States.

"We're having more conversations about ADR-type listings, but there's significant momentum in both," Griggs said, referring to traditional IPOs and ADR issuances.

He also noted that foreign companies account for a meaningful share of the top fundraisers in the US market this year, saying global firms are choosing US listings because they believe they can command higher valuations there.

Griggs declined, however, to answer a question about whether Samsung Electronics might list in the United States, saying he does not comment publicly on potential deals before they are announced.

He offered a positive assessment of SK hynix's first-day trading, saying lead underwriter JPMorgan had priced the offering at $149 per share in a way that left room for upside, and describing trading activity as stable.

SK hynix's ADR opened at $170 on its first trading day Friday on the Nasdaq and closed around $168 — roughly 13 percent above the $149 offering price. According to the Associated Press, SK hynix issued 177.9 million ADR shares, raising $26.5 billion in what is considered the largest-ever US share sale by a foreign company.

A resurgent US IPO market, fueled by AI enthusiasm, also contributed to the strong debut. The AP, citing data from Renaissance Capital, reported that US IPOs raised $104.8 billion in the second quarter of this year — the largest quarterly haul in five years — as companies rushed to list and capitalize on AI-driven demand.

The market is also discussing the possibility that SK hynix could issue additional ADRs in the future. Griggs said companies typically return to the market and weigh where their shares receive the best valuation. He suggested SK hynix was more likely to raise further capital through additional ADR issuances than through a traditional IPO.

SK hynix had already registered 1.78 billion ADR shares — ten times the size of the initial offering — with the US Securities and Exchange Commission through an F-6 filing. The move is understood to have pre-set a ceiling allowing shares equivalent to roughly 25 percent of its total issued stock to be deposited with custodian Citibank and converted into ADRs.

For SK hynix, the successful US listing delivered two benefits at once: large-scale capital raising and a broader global investor base. With HBM demand rising on the back of expanding AI server investment, improved access to US capital markets could prove a positive factor for future capital expenditure and a revaluation of the company.

The risk of short-term profit-taking following the first-day surge remains. Market attention is now focused on whether SK hynix's ADR can sustain its premium once it begins trading under its official ticker — and whether the listing will spark similar discussions about other major Korean technology companies seeking a US debut.