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SK hynix approves 40 trillion won buyback and cancels repurchased shares
The three-month program could retire about 3.3% of SK hynix's shares, with repurchases starting Aug. 20.
SK hynix, the South Korean memory-chip maker tied to AI data center demand, said its board approved a ₩40 trillion ($28.69 billion) share buyback that will be followed by the permanent cancellation of repurchased shares, according to Yahoo Finance.
The company said the buyback begins Thursday, Aug. 20, and runs for three months. Based on the Aug. 18 closing price of ₩1,662,000 ($1,192.13), the program could cover about 24.07 million shares, or roughly 3.3% of the 730,492,365 shares outstanding.
Yahoo Finance also noted the decision would mark the largest buyback-and-cancellation program by a South Korean listed company. It added that share cancellation can reduce the number of outstanding shares and support earnings per share, as SK hynix continues investing alongside demand for DRAM and NAND flash products.
The outlet further said SK hynix has been expanding in U.S. capital markets, including starting regular trading on the Nasdaq under the ticker SKHY in mid-July.
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