Kioxia's IPO Tentative Pricing

By Miho Uranaka and Sam Nussey

TOKYO (Reuters) – Bain Capital-backed chipmaker Kioxia has set a tentative price range of 1,390 to 1,520 yen ($9.22 to $10.09) per share for its initial public offering, according to a filing made public on Monday.

The price range, as initially reported by Reuters, compares with an indicative price of 1,390 yen set in November, valuing the Japanese chipmaker at around 749 billion yen to 819 billion yen.

Bain Capital had previously scrapped its plans for an IPO of Kioxia in October as investors expected a market value of around 800 billion yen, falling short of its target of 1.5 trillion yen, according to reports from Reuters.

The buyout firm also postponed an earlier IPO attempt for Kioxia four years ago.

The ongoing efforts by Bain to take Kioxia public are being closely monitored as a barometer for buyout firms in Japan, where more companies are divesting non-core assets or going private.

Going public would provide Kioxia with options for fundraising in an industry that requires substantial capital but would also lead to increased scrutiny of the company’s financials.

A Bain-led consortium acquired the chipmaker from the scandal-ridden conglomerate Toshiba for 2 trillion yen in 2018.

Kioxia is scheduled to debut on the Tokyo Stock Exchange on Dec. 18.

> (Note: $1 = 150.6800 yen)