The American investment company Bain Capital plans to conduct an IPO of the Japanese chip manufacturer Kioxia Holdings Corp. This is reported in a press release from Bain Capital.
From the point of view of Bain Capital, Kioxia can raise about $500 million in an IPO with a total valuation of 1.5 trillion yen ($10.3 billion). Kioxia filed for an IPO in October 2023.
Bain acquired Kioxia from Toshiba Corp. for $18 billion in 2018 and considered the possibility of an IPO on the Tokyo Stock Exchange in April 2024 in order to refinance a loan worth $5.8 billion, which matured in June 2024.
Kioxia filed for an IPO in October 2023. According to the plan presented to the banks, Kioxia expects to return to profit by March 2025, generating a profit of 130 billion yen.
The potential deal coincides with a sharp increase in government support for investments in the chip manufacturing sector to ensure the supply of critical components amid rising geopolitical tensions.
Kioxia, which suffered from the decline of the chip market, remains a major manufacturer, despite the fact that Japan has ceded influence in this sector to Taiwan and South Korea. The Japanese government is seeking to revive the country's lost position as a major chip manufacturing center and provides subsidies to Kioxia and other companies.
Kioxia Holdings Corp. – A Japanese multinational chip manufacturing company. The company was spun off from the Toshiba conglomerate in June 2018 under the Toshiba Memory Corporation brand, and in October 2019 was renamed Kioxia. Kioxia includes subsidiaries Kioxia Systems Company, Kioxia Advanced Package Corporation, Kioxia America and Kioxia Europe.
Bain Capital is an American investment company in the field of private and venture capital investments, socially transformative investments, investments in biotechnology and real estate. The headquarters is located in Boston with offices in North America, Europe, Asia and Australia.
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