Pan-Asia Index Rebalances/ Events/ Delta One, Periscope Analytics

Brian Freitas

Pan-Asia Index Rebalances/ Events/ Delta One

Periscope Analytics

Periscope Analytics focuses on event-driven trades across Asia Pacific and provides comprehensive, timely and systematic coverage of index changes to major Asia Pacific indices in a structured manner.

The analysis includes forecasted inclusions and exclusions to all major Asian indices that have significant amount of tracking assets, including estimates of passive buy/sell flow on the stocks. The service also provides commentary and impact of market consultations, ground rule changes, and other events (IPOs, spin-offs, M&A) that could lead to index changes and passive flow.

Periscope Analytics works with multi-strategy hedge funds, proprietary trading firms, stat arb trading groups and long-only investors that invest and trade in the Asia Pacific region with the data being used to trade index rebalances, avoid pre-positioning and passive flow, and to time entry into and exit from stocks.

Event-Driven Trades Across Asia Pacific

Event-Driven

<ul>
<li>
<a href="https://www.smartkarma.com/entities/sk-hynix-inc" target="_blank" data-smartkarma-citation="entities:16955:1" rel="noopener">SK Hynix (000660 KS)</a> raised US$26.5bn selling 177.9m shares of <a href="https://www.smartkarma.com/entities/sk-hynix-inc-a4e8e2ec-1a75-4752-b58c-eaa0d074d145" target="_blank" data-smartkarma-citation="entities:50283:1" rel="noopener">SK Hynix (SKHY US)</a> at US$149/share. <a href="https://www.smartkarma.com/entities/sk-hynix-inc-a4e8e2ec-1a75-4752-b58c-eaa0d074d145" target="_blank" data-smartkarma-citation="entities:50283:1" rel="noopener">SK Hynix (SKHY US)</a> closed at a 15.5% premium to the local line.</li>
<li>There will be passive buying in the local shares and the ADR line over the next few months. The ADR line could trade at a premium in the near-term.</li>
<li>We expect the ADR to trade between a 30-35% premium in the very short-term and that could drift lower following the limited passive buying in the ADR.</li>
</ul>



SK Hynix (000660 KS) raised US$26.5bn selling 177.9m shares of SK Hynix (SKHY US) at US$149/share. SK Hynix (SKHY US) closed at a 15.5% premium to the local line.
There will be passive buying in the local shares and the ADR line over the next few months. The ADR line could trade at a premium in the near-term.
We expect the ADR to trade between a 30-35% premium in the very short-term and that could drift lower following the limited passive buying in the ADR.


SK Hynix (000660 KS; SKHY US): Updated Index Flows/Timing & Where Could the Premium Settle?

US IPOs and Secondary Offerings, IPO Boutique

IPO Boutique

US IPOs and Secondary Offerings

For more than 20 years, we have been providing research, analysis, commentary and ratings on US Equity Capital Markets to institutional investors (US IPOs and Secondary Offerings). Our vast network of contacts across the Equity Capital Markets and attention-to-detail sets us apart from our competitors.

Since 2012, we have achieved a successful hit rating on 89% of Buy-rated IPOs. The collective “Buy” ratings averaged a first trade of 16.3% above issue.Our Neutral Rated Deals averaged just 2% above the issue price at first trade.

Our written research includes pre-IPO notes before the deal is launched, follow-up analysis once the deal is live and post-listing trading analysis as well.

In addition, we provide a high-touch premium desk access which includes analyst access, as well as real time insights on US IPOs as well as secondary offerings.

IPOs and Secondary Offerings

Equity Capital Markets

<ul>
<li>SK Hynix dominates AI memory with the leading HBM market share, positioning it at the center of the industry's largest infrastructure spending cycle.</li>
<li>Revenue has nearly tripled over two years while margins expanded dramatically as AI demand transformed memory from a commodity into a premium product.</li>
<li>Although structured as an ADS offering, this represents the largest foreign capital raise since Alibaba and should command significant institutional attention.</li>
</ul>


SK Hynix dominates AI memory with the leading HBM market share, positioning it at the center of the industry's largest infrastructure spending cycle.
Revenue has nearly tripled over two years while margins expanded dramatically as AI demand transformed memory from a commodity into a premium product.
Although structured as an ADS offering, this represents the largest foreign capital raise since Alibaba and should command significant institutional attention.


SK Hynix (SKHY): Breaking the Memory Wall: SK Hynix Targets Largest Foreign Raise Since Alibaba

Get Ahead with IPO Insights, IPO Prophet

IPO Prophet

Get Ahead with IPO Insights

At IPO Prophet®, our team leverages over three decades of expertise to deliver actionable quantitative analytics for the IPO market in real-time. This platform synthesizes our extensive experience investing in IPOs, providing investors with revolutionary tools to navigate the complexities of issuance day. Our mission is to empower investors with data-driven insights to make more informed decisions.

<ul><li>SK hynix Inc. (Nasdaq: SKHY) has filed to offer 177.9 million American Depositary Shares (ADSs), with each ADS representing one-tenth of one common share, in a proposed offering expected to raise approximately $28 billion based on the company's current Korean market value.</li><li>The company, which carries an approximate $1.1 trillion market capitalization, has applied to list its ADSs on the Nasdaq Global Select Market under the symbol SKHY. BofA Securities, Citigroup, Goldman Sachs and J.P. Morgan are serving as global coordinators alongside an extensive underwriting syndicate.</li><li>If completed as proposed, the transaction would rank among the largest IPO-related capital markets transactions ever brought to U.S. investors, highlighting continued institutional demand for companies powering the global artificial intelligence infrastructure buildout.</li></ul>

SK hynix Inc. (Nasdaq: SKHY) has filed to offer 177.9 million American Depositary Shares (ADSs), with each ADS representing one-tenth of one common share, in a proposed offering expected to raise approximately $28 billion based on the company's current Korean market value.The company, which carries an approximate $1.1 trillion market capitalization, has applied to list its ADSs on the Nasdaq Global Select Market under the symbol SKHY. BofA Securities, Citigroup, Goldman Sachs and J.P. Morgan are serving as global coordinators alongside an extensive underwriting syndicate.If completed as proposed, the transaction would rank among the largest IPO-related capital markets transactions ever brought to U.S. investors, highlighting continued institutional demand for companies powering the global artificial intelligence infrastructure buildout.

SK Hynix (SKHY) Targets Landmark $28 Billion IPO as AI Memory Leader Expands U.S. Investor Access

<ul><li>SK hynix is expected to list on the Nasdaq Global Select Market under the ticker SKHY, offering approximately 177.9 million American Depositary Shares (ADSs), each representing one-tenth of an ordinary share.</li><li>At an expected offering size of approximately $28 billion, the transaction ranks among the largest equity offerings ever completed and represents one of the most significant semiconductor listings in modern capital markets.</li><li>Unlike a traditional IPO, this is a Nasdaq ADS listing of an already established global semiconductor leader whose ordinary shares trade on the Korea Exchange.</li></ul>

SK hynix is expected to list on the Nasdaq Global Select Market under the ticker SKHY, offering approximately 177.9 million American Depositary Shares (ADSs), each representing one-tenth of an ordinary share.At an expected offering size of approximately $28 billion, the transaction ranks among the largest equity offerings ever completed and represents one of the most significant semiconductor listings in modern capital markets.Unlike a traditional IPO, this is a Nasdaq ADS listing of an already established global semiconductor leader whose ordinary shares trade on the Korea Exchange.

IPO Rating: Company: SK Hynix Inc. Ticker: SKHY

<ul>
<li>
<a href="https://www.smartkarma.com/entities/sk-hynix-inc" target="_blank" data-smartkarma-citation="entities:16955:1" rel="noopener">SK Hynix (000660 KS)</a> is looking to raise around US$30bn via a new share issue to back ADRs listed on the NASDAQ.</li>
<li>The ADR to local share ratio is 10:1 and the ADRs are expected to start trading in the second half of July.</li>
<li>There will be passive buying from multiple index trackers and that will mop up a significant amount of the new share offering.</li>
</ul>



SK Hynix (000660 KS) is looking to raise around US$30bn via a new share issue to back ADRs listed on the NASDAQ.
The ADR to local share ratio is 10:1 and the ADRs are expected to start trading in the second half of July.
There will be passive buying from multiple index trackers and that will mop up a significant amount of the new share offering.


SK Hynix (000660 KS; SKHY US) ADR Issue: Large Index Flows & Potential Timing

South Korea

SK hynix Inc. provides products and services for the electronic components industries. The Company manufactures semiconductors such as dynamic random access memory (DRAM), NAND flash memory, and static random access memory (SRAM) chips.

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SK Hynix (SKHY US)

SK Hynix (000660 KS; SKHY US): Updated Index Flows/Timing & Where Could the Premium Settle?

With the market appearing to have finally worked out (as we stated in the Insight and based on the prospectus) that SK Hynix's conversion could be...

Brian Freitas

SK Hynix (SKHY): Breaking the Memory Wall: SK Hynix Targets Largest Foreign Raise Since Alibaba

SK Hynix leads in AI memory market share, benefiting from industry's infrastructure spending cycle, revenue growth, and increased margins due to...

IPO Boutique

SK Hynix (SKHY) Targets Landmark $28 Billion IPO as AI Memory Leader Expands U.S. Investor Access

Global leader in AI memory technology seeks one of the largest IPO-related capital markets transactions ever brought to U.S. investors while giving...

IPO Prophet

IPO Rating: Company: SK Hynix Inc. Ticker: SKHY

SK hynix is expected to list on the Nasdaq Global Select Market under the ticker SKHY, offering approximately 177.9 million American Depositary...

IPO Prophet

SK Hynix (000660 KS; SKHY US) ADR Issue: Large Index Flows & Potential Timing

Hynix is looking to raise US$30bn and list on the NASDAQ. Passive buying will mop up around 30% of the issue with smaller flows at the time of...

Brian Freitas

Price Gauge

52-week Range

Market Cap (USDm)

P/E

Dividend (Yield)

SK Hynix (000660 KS; SKHY US): Updated Index Flows/Timing & Where Could the Premium Settle?

With the market appearing to have finally worked out (as we stated in the Insight and based on the prospectus) that SK Hynix's conversion could be...

Brian Freitas

SK Hynix (SKHY): Breaking the Memory Wall: SK Hynix Targets Largest Foreign Raise Since Alibaba

​SK Hynix leads in AI memory market share, benefiting from industry's infrastructure spending cycle, revenue growth, and increased margins due to...

IPO Boutique

SK Hynix (SKHY) Targets Landmark $28 Billion IPO as AI Memory Leader Expands U.S. Investor Access

Global leader in AI memory technology seeks one of the largest IPO-related capital markets transactions ever brought to U.S. investors while giving...

IPO Prophet

IPO Rating: Company: SK Hynix Inc. Ticker: SKHY

SK hynix is expected to list on the Nasdaq Global Select Market under the ticker SKHY, offering approximately 177.9 million American Depositary...

IPO Prophet

SK Hynix (000660 KS; SKHY US) ADR Issue: Large Index Flows & Potential Timing

Hynix is looking to raise US$30bn and list on the NASDAQ. Passive buying will mop up around 30% of the issue with smaller flows at the time of...

Brian Freitas

SK Hynix leads in AI memory market share, benefiting from industry's infrastructure spending cycle, revenue growth, and increased margins due to...