Update, 18/12 by Laura Herijgers: The IPO of Japanese Kioxia resulted in a valuation of approximately 5.8 billion dollars (5.5 billion euros). The company has been listed on the stock exchange since December 18, 2024.
The chip manufacturer’s stock started trading at 1,455 yen per share, the safe middle of the indicative price it previously shared. A few hours later, these traded above 1.6 yen.
Original, 9/12: Japan’s Kioxia may finally go public on December 18 this year. Owner Bain Capital has set the achievable enterprise value of producer of computer memory at 784 billion yen (4.9 billion euros) after a recalculation.
This is according to Reuters. An earlier IPO was called off in October because of a miscalculation of the company’s market value. By then, it had already taken a long time to finally get Kioxia listed.
Recalculation
In recalculating, Bain Capital has set the enterprise value targeted at the IPO at 784 billion Japanese yen (4.9 billion euros). In the old calculation, the enterprise value to be achieved was no less than 1.5 trillion yen (9.26 billion euros). Thus, a hefty difference significantly cuts into Bain Capital’s expected proceeds.
The IPO’s proposed proceeds of 784 billion yen now place the value of a share of Kioxia between 1,390 and 1,520 yen. These shares are now priced in the middle of their market value.
IPO at last
Bain Capital acquired Kioxia from Toshiba in 2018. The Japanese tech group was embroiled in a major financial scandal at the time. The private investment firm has wanted to take the memory chip producer public for four years.
Read also: Chip producer Kioxia has doubts about valuation and postpones IPO