SK Hynix pulled off something remarkable on July 10: a $26.5 billion Nasdaq listing that became the largest foreign equity ADR sale in US history. The market loved it, then immediately started second-guessing itself.
The ADRs, trading under the ticker SKHY, priced at $149, opened around $170, and closed their debut session near $168. That’s a 13% pop on day one. What happened next was less festive.
The hangover arrives on schedule
Seoul-listed shares fell 15.4% on July 13, three days after the Nasdaq debut. The ADRs followed, dropping roughly 9% in follow-on sessions and trading back near the original offering price.
Investors who bought at the $170 open are underwater. Investors who got the IPO allocation at $149 are roughly back where they started.
