Kioxia Considers $10 Billion U.S. ADR Listing

Japanese chipmaker Kioxia Holdings is considering raising at least $10 billion through a listing of American depositary receipts (ADRs) in the United States, Bloomberg News reported on Monday, citing people familiar with the matter. The offering could take place as early as next year, with Kioxia reportedly in discussions with lenders including Bank of America, Goldman Sachs and JPMorgan.

The Tokyo-based memory chipmaker is seeking to increase its liquidity and broaden its investor base in the U.S. after repurchasing billions of dollars worth of shares in Japan. A U.S. ADR offering could also potentially enable Kioxia to join a semiconductor-focused stock index, according to the report. The company said in May that it was preparing to list ADRs to expand its investor base.

The plans remain preliminary, and details including the size of the offering and the banks involved could still change, Bloomberg reported. Reuters could not immediately verify the report, while Kioxia, Bank of America, Goldman Sachs and JPMorgan did not immediately respond to requests for comment. The move comes as Asian technology and semiconductor companies seek greater access to U.S. investors amid continued strong interest in the AI-driven chip market, despite a recent pullback in AI-related stocks.

Pic Courtesy: google/ images are subject to copyright