KIOXIA files for IPO: the NAND flash maker wants to raise $500M, could be valued at over $10B+

KIOXIA plans to IPO in October driven by the insatiable AI demand, and the soaring demand of semiconductors to fuel the AI demand.

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The Japanese NAND flash memory chip maker is looking at an anticipated valuation of 1.5 trillion yen (around $10.3 billion USD or so) reports Nikkei. The outlet reports that KIOXIA would use the future funds raised from its IPO to increasing the production of cutting-edge memory as well as development of next-generation chips.

Nikkei talked with a "KIOXIA insider" who hoped the IPO would diversity its funding channels, and said: "We've been tight on cash so far, which has left us lagging behind in our ability to invest". Another insider said "even though memory demand is strong now, we don't know what might happen right up to the last minute, like in 2020, so we can't let our guard down".

The Japanese company tried multiple since spinning off KIOXIA to have it listed, where it reportedly prepared an IPO in fiscal 2019, but postponed it amid a slowdown in corporate investment in data centers. The Tokyo Stock Exchange (TSE) gave the company approval to list in 2020, but it was shelved because of on-going tensions between the United States and China.

After that, the company considered an IPO in the summer of 2021, but didn't move forward with an actual filing. The application approved by the TSE back in 2020 had KIOXIA valued at 1.5 trillion yen to 1.88 trillion yen ($10.4 billion to $13 billion USD at current rates), with Nikkei reporting that this IPO plan "similarly aims for a valuation of at least 1.5 trilion yen".