TSMC's ADRs rank No. 7 in global market cap after SpaceX surge

Taipei, June 16 (CNA) Although the American depositary receipts (ADRs) of Taiwan Semiconductor Manufacturing Co. (TSMC) rose over 4 percent in the United States overnight, its spot in the global market capitalization rankings fell one notch to No. 7, according to data released by companiesmarketcap.

The data showed shares in aerospace firm Space Exploration Technologies Corp. (SpaceX) jumped almost 20 percent to overtake TSMC for sixth place on Monday in the second trading session following its initial public offering (IPO), the biggest-ever in the world.

On Monday, TSMC's ADRs rose 4.12 percent to close at US$441.40 with its market cap rising to US$2.289 trillion on the announcement of a peace deal between the U.S. and Iran slated to be signed Friday as well as continued optimism over AI development.

SpaceX launched its IPO on June 12, raising about US$75 billion in the largest public offering on record. Its shares surged 19.22 percent on the first day of trading and gained another 19.6 percent on the second day to close at US$192.50, boosting the company's market capitalization to US$2.519 trillion.

That pushed SpaceX ahead of TSMC and within striking distance of fifth-ranked Amazon, which had a market capitalization of US$2.646 trillion, according to the data.

In Taipei, TSMC shares, which account for over 40 percent of total market value, continued an uptrend, rising 1.05 percent to close at the day's high of NT$2,400.00 (US$76.05), serving as a driver of the local main board, which gained 0.94 percent.

Meanwhile, Fubon Financial Holding Co. said in an announcement posted on the Taiwan Stock Exchange over the weekend that its wholly-owned subsidiary Fubon Life Insurance spent US$6.75 million or US$135 per share -- not including trading commissions, related tax payments and other fees -- to subscribe 50,000 common shares of SpaceX, which issued a total of 555.6 million shares for its IPO.

According to Fubon Financial, Fubon Life used its own funds to invest in SpaceX.

On June 9, Fubon Financial said in an earlier announcement to the exchange that it had planned to subscribe up to US$600 million worth of SpaceX shares. However, the real spending was much lower as the IPO was 5-6 times oversubscribed, analysts said.

Currently, Fubon Financial is the only listed company to disclose that its life insurance unit participated in SpaceX's IPO.

Fubon Financial Chairman Richard Tsai (蔡明興) told reporters after the annual general meeting held on June 12 that SpaceX is developing low-orbit satellite communications and space data centers, indicating the stock has great potential to grow.