Seoul: SK Group Chairman Chey Tae-won purchased a total of 3,620 shares of SK hynix Inc. in the open market, the company said in a regulatory filing Thursday, marking the first such move from the executive.

According to Yonhap News Agency, the total value of shares purchased by Chey amounts to around 4.8 billion won (US$3.35 million), with the chipmaker's closing price at 1.32 million won on Thursday. Chey reportedly made the stock purchase to demonstrate his commitment to "responsible management," amid observations that shares of SK hynix are being severely undervalued.

The share price of the chip giant had risen to a record high of 2.99 million won on June 25 but has since fallen by more than half to 1.32 million won. Chey had earlier stated it is "better to hold on to SK hynix shares, instead of repeatedly selling and repurchasing them, to preserve wealth," adding that the company's share price will continue an uptrend due to sustained demand for memory chips.