SK Hynix announces record 40 trillion won share buyback

SK Hynix announced on August 19, 2026, the largest share buyback in South Korean corporate history, committing 40 trillion won (approximately $28.6 billion) to repurchase and cancel treasury shares in a bid to support its stock price and enhance shareholder value. The decision, approved by the company’s board, comes amid a broad market sell-off in semiconductor stocks and growing investor pressure on the memory chipmaker to return more of its substantial cash reserves.

The buyback program will involve the purchase of 24.07 million shares, representing about 3.3% of the company’s outstanding stock, on the open market. Purchases are scheduled to begin on August 20 and run through November 19, 2026, with SK Securities acting as the broker. Crucially, all shares acquired will be permanently cancelled, a step aimed at increasing the proportional value of remaining shares.

The announcement arrived as SK Hynix’s stock had been under intense pressure, falling roughly 9% during regular trading on Wednesday following a downturn in U.S. chip stocks. The company’s share price has declined sharply from record highs reached in June, erasing about 40% of its market value in two months despite...