Korea / Special Situations, Clepsydra Capital

Sanghyun Park

I investigate special situations in Korea.

Korea / Special Situations

On Headlines that Hynix Will Fully Block ADR Conversion

KSD Confirms Hynix ADR 2.5% Hard Cap, Only Hynix Can Expand It. Outlook on the Actual Playbook

SK Hynix Tactical Outlook: Imminent Small Rally, And Then?

Newly Surfaced Risk to Hynix ADR Premium Trade

Story Behind Hynix 2Q Earnings Reset Leak

Mapping Out the Moving Parts Around Hynix ADR Headroom

Korea / Special Sits, Pairs, Index Rebalancing

Clepsydra Capital

Investigate special situations, pairs, and index rebalancing trades in Korea.

Event-Driven

<ul>
<li>Key issue is Citi’s day one public pool sizing. No local intel on the daily cap yet, but expect a tightly controlled, gradual opening over the first 3-6 months.</li>
<li>Likely shifting from FCFS to pro rata allocation, with Citi aggregating daily demand, setting a cutoff, and allocating capacity within the daily cap.</li>
<li>Quota hunting could drive intraday distortions, with failed ADR allocations triggering late day unwinds and adding volatility to Hynix local shares after July 29.</li>
</ul>


Key issue is Citi’s day one public pool sizing. No local intel on the daily cap yet, but expect a tightly controlled, gradual opening over the first 3-6 months.
Likely shifting from FCFS to pro rata allocation, with Citi aggregating daily demand, setting a cutoff, and allocating capacity within the daily cap.
Quota hunting could drive intraday distortions, with failed ADR allocations triggering late day unwinds and adding volatility to Hynix local shares after July 29.


Hynix ADR Conversion Goes Live: Quota Hunting Dynamics to Watch