SK Hynix makes massive $2.7 bil investment in China DRAM unit
SEOUL, NNA - SK hynix Inc., the world’s second-largest DRAM producer, will pour $2.7 billion into a Chinese manufacturing unit to expand manufacturing space necessary to competitively produce improved memory chips.
The South Korean chipmaker plans to provide the loan to SK hynix Semiconductor (China) Ltd., a local arm in Wuxi in the eastern coastal province of Jiangsu in phases up until the end of 2021, it said in a filing to the Financial Supervisory Service last Thursday.
The move is the first funding for the China unit, which completed a plant manufacturing Dynamic Random Access Memory used for smartphones, personal computers, and servers, among other electronics products in April 2019, according to a local media report.
SK hynix controls nearly 30 percent of the global DRAM market share after Samsung Electronics Co.