On August 23, 2024, a man walked out of the headquarters building of Kioxia, the world’s third largest NAND flash memory chip manufacturer, in central Tokyo.
Richard A. Brooks | AFP | Getty Images
Japanese computer memory maker Kioxia raised more than 120 billion yen ($800 million) in its initial public offering in Tokyo, sending its shares up 2.69% in its Tokyo debut.
The shares were trading at 1,484 yen at 9:14 a.m. Tokyo time, just above the issue price of 1,455 yen per share, the midpoint of the IPO price range of 1,390 to 1,520 yen.
Kioxia initially issued 71.8 million shares, but later exercised its over-allotment option and issued an additional 10.79 million shares. Japanese documents submitted on Monday.
The IPO includes the issuance of new shares by Kioxia and the sale of shares from major shareholders Bain Capital and Toshiba.
Earlier on Wednesday, Reuters reported that Kioxia had asked its major shareholders to sell more shares to meet listing requirements on the Tokyo Stock Exchange’s main market.
Kioxia revealed that its market share is only 28.09%, which is lower than the market share. The requirement for premium markets is 35%.
Kioxia, formerly known as Toshiba Memory, is Toshiba’s chip division. It was sold to a consortium led by Bain for US$18 billion in 2018.
Third time is the charm
This is not the first time Kioxia has attempted to list on the public market. Back in 2020, Kioxia Delay IPO plan The company said in a statement at the time that it reasoned that “ongoing market volatility and ongoing concerns about a second wave of the epidemic” meant that continuing to go public was not in the best interests of shareholders.
Reuters reports In September, Bain Capital canceled plans for an IPO in October. Reuters reported that this was due to a sell-off in Japanese stocks in August, which made the 1.5 trillion yen valuation that Bain & Company had been targeting “challenging.”
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