Hynix reaches pricing

In an ironic but oddly fitting denouement to what has been a complex and controversial transaction, Hynix Semiconductor's GDR is shaping up to become the region's largest straight equity offering so far this year. Should Salomon Smith Barney be able to raise the entire $1.4375 billion (including greenshoe and a strategic stake from Texas Instruments), it will just pip the $1.432 billion raised for China National Offshore Oil Corp (CNOOC) in February.

That a distressed company in a distressed sector should be able to raise such a large sum of money in exceptionally difficult market conditions will represent no mean feat. Observers believe that its ability to do so derives from having successfully convinced investors of the company's inherent viability as to whether or not there is an upturn in the DRAM cycle and more importantly, of the stock's significant upside from current low levels.