Key Foundry
2022
Why
SK hynix bought Korean 8-inch foundry Key Foundry for about $409 million (KRW 575.8 billion) to expand its foundry subsidiary SK hynix system ic.
SK Hynix Inc.
Semiconductors / Memory and Storage Solutions (DRAMFounded 1983- HQ today: Icheon, South Korea
Reviewed by Swet Parvadiya
Company data updated: October 2026
Acquisitions
SK Hynix Acquisitions
3
Major Deals Covered
$9.0B
Disclosed Deal Value
What are SK Hynix's biggest acquisitions?
SK Hynix's largest disclosed acquisition here is Intel NAND and Solidigm for $9B in 2020. This page covers 3 major deals from 1999 to 2022, each with its price where disclosed and the reason behind it.
- Major deals covered
- 3
- Largest deal
- Intel NAND and Solidigm ($9B)
- First deal
- 1999
- Most recent
- 2022
| Company | Year | Price | Purpose |
|---|---|---|---|
| LG Semiconductor | 1999 | Undisclosed | After the 1997 Asian financial crisis, a government-led 'Big Deal' restructuring merged LG Semicon into Hyundai Electronics to consolidate Korea's memory industry. |
| Intel NAND and Solidigm | 2020 | $9.0B | Announced in October 2020 for $9 billion, the deal bought Intel's NAND and SSD business, including the Dalian, China fab. The first closing in December 2021 created US subsidiary Solidigm. |
| Key Foundry | 2022 | Undisclosed | SK hynix bought Korean 8-inch foundry Key Foundry for about $409 million (KRW 575.8 billion) to expand its foundry subsidiary SK hynix system ic. |
- What companies has SK Hynix bought?
- Major acquisitions by SK Hynix documented here include Intel NAND and Solidigm (2020), Key Foundry (2022) and LG Semiconductor (1999).
- What is SK Hynix's most recent acquisition?
- The most recent SK Hynix acquisition documented here is Key Foundry, in 2022.
Intel NAND and Solidigm
2020
$9.0B
Why
Announced in October 2020 for $9 billion, the deal bought Intel's NAND and SSD business, including the Dalian, China fab. The first closing in December 2021 created US subsidiary Solidigm.
Impact
It made SK hynix a much larger enterprise SSD supplier and added Intel's QLC NAND technology.
Outcome
Solidigm now sells high-capacity QLC enterprise SSDs used in AI data center storage.
LG Semiconductor
1999
Why
After the 1997 Asian financial crisis, a government-led 'Big Deal' restructuring merged LG Semicon into Hyundai Electronics to consolidate Korea's memory industry.
Impact
The merger allowed the combined entity to consolidate R&D resources, rationalize manufacturing capacity, and achieve the scale necessary to invest in leading-edge DRAM nodes, ultimately saving the company from bankruptcy and establishing it as the number two global DRAM manufacturer.
Outcome
The combined company was spun off from Hyundai as Hynix Semiconductor in 2001 and was later acquired by SK Telecom in 2012.
SK Hynix Inc.'s Growth & Acquisition Strategy
Growth rests on three moves: ramping HBM4 production in the second half of 2026, expanding capacity at Cheongju (M15X) and the Yongin semiconductor cluster while keeping capex disciplined, and building an HBM advanced packaging and R&D site in West Lafayette, Indiana, announced in 2024 at about $3.87 billion. The July 2026 Nasdaq ADR listing widened its investor base, and a ~$28.4B (KRW 40T) share buyback runs from August 20 to November 19, 2026.
How SK Hynix Inc. Makes Money
SK hynix is an integrated device manufacturer: it designs, fabricates, packages and tests memory chips in-house and sells them to cloud providers, AI accelerator makers, server OEMs, smartphone makers and PC brands. DRAM is the larger business and includes HBM, server DDR5 and mobile LPDDR. NAND flash covers mobile storage and enterprise SSDs, including Solidigm's high-capacity QLC drives. Profitability swings with memory prices, so long-term supply agreements (about 10 customers as of July 2026) and premium HBM pricing matter as much as volume.
SK Hynix Acquisitions FAQ
What was the landmark $9.0 billion acquisition of Intel's NAND business in 2020?
In October 2020, SK hynix agreed to acquire Intel's NAND flash memory, enterprise SSD, and Dalian fab business for $9.0 billion. The deal closed in two phases (December 2021 and 2025), creating US subsidiary Solidigm and doubling SK hynix's global enterprise SSD market share.
What was the historic merger with LG Semicon in 1999?
In 1999, Hyundai Electronics acquired rival LG Semicon for approximately $5.6 billion (KRW 6.4 trillion) as part of South Korea's government-mandated post-crisis industrial consolidation, creating what was then the world's second-largest DRAM manufacturer.
What was the acquisition of Key Foundry in 2022?
In March 2022, SK hynix acquired 100% of South Korean 8-inch pure-play foundry Key Foundry for KRW 575.8 billion (~$492 million), doubling its legacy foundry capacity for power management ICs (PMICs), display drivers, and automotive microcontrollers.
What is SK hynix's investment stake in Japan's Kioxia (formerly Toshiba Memory)?
In 2018, SK hynix participated as a key investor in the Bain Capital consortium that acquired Toshiba Memory (now Kioxia) for $18 billion. SK hynix contributed KRW 4.0 trillion (~$3.6B), holding convertible bonds that provide a future 15% equity upside.
What was the acquisition of Link_A_Media Devices (LAMD) in 2012?
In June 2012, SK hynix acquired US flash memory controller designer Link_A_Media Devices for $248 million, giving SK hynix in-house proprietary controller ASIC and firmware capabilities for solid-state drives.
What was the acquisition of Softeq Development's SSD firmware team in 2014?
In June 2014, SK hynix acquired the flash memory firmware division of US-based Softeq Development, expanding its specialized engineering team for client and enterprise SSD storage systems.
What was the acquisition of SiliconArts IP assets for ray tracing?
SK hynix has completed targeted intellectual property and design team acquisitions in specialized memory-centric GPU rendering, neural processing units (NPU), and Processing-in-Memory (PIM) architectures.
How did the acquisition of Intel's Dalian fab reshape SK hynix's manufacturing footprint?
The Intel acquisition gave SK hynix ownership of Fab 68 in Dalian, Liaoning Province, China, an immense wafer fab dedicated to high-layer 3D NAND flash and Solidigm QLC enterprise storage.
Why did SK hynix resist the proposed merger between Kioxia and Western Digital in 2023?
As an indirect major investor in Kioxia, SK hynix exercised its consent rights to block a proposed $20 billion merger between Western Digital and Kioxia, arguing the tie-up would devalue SK hynix's investment stake and create a threatening NAND competitor.
What was SK Group's acquisition of Hynix in 2012?
In 2012, SK Telecom acquired a 21.05% controlling stake in Hynix Semiconductor from creditor banks for KRW 3.37 trillion, completing the most lucrative conglomerate acquisition in South Korean history.
What is SK hynix's current M&A criteria?
SK hynix focuses on targeted acquisitions and strategic partnerships in advanced packaging materials, chiplet interconnect IP, CXL software ecosystems, and AI memory controller startups rather than large dilutive chipmaker buyouts.
How does SK hynix partner with venture capital funds?
Through SK hynix Ventures and SK Square, the company invests in early-stage semiconductor startups working on optical computing interconnects, neuromorphic chips, and next-generation lithography equipment.
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