Japanese chipmaker Kioxia plans US IPO after strong AI profits

Kioxia, a Tokyo-based flash memory maker, said on May 15 it is preparing a US listing of American depositary shares as AI demand lifts the need for NAND storage.

The company said the plan is not final and still needs regulatory approval, and the review could end without a listing.

Kioxia listed on the Tokyo Stock Exchange in December 2024 and said the timing, market, and method for the ADS sale have not been decided.

For the fiscal year ended March 31, 2026, revenue rose 37% year on year to 2.3 trillion yen (US$14.8 billion) while profit attributable to owners reached 554.5 billion yen (US$3.5 billion).

It also said demand from AI servers among data center and enterprise customers increased.

The SSD and storage products made up 600.3 billion yen (US$3.79 billion) of fourth quarter revenue.

🔗 Source: Bloomberg

🧠 Food for thought

Implications, context, and why it matters.

A potential US listing comes after a failed merger and builds on earlier financial steps

Kioxia is weighing a US listing after Western Digital ended its long-delayed merger plan with Kioxia, its joint venture partner for more than 20 years 1.
That deal aimed to build a larger memory company that could better compete with Samsung and SK hynix, a South Korean memory-chip maker 1.
Even without the merger, both companies still run their joint venture 2. They also won approval for up to 150 billion yen (US$948 million) for manufacturing facilities at the Yokkaichi plant and the Kitakami plant 2.
Work tied to US market access started earlier. Citibank and JPMorgan Chase Bank filed Form F-6 registration statements for American depositary shares (ADSs) for Kioxia Holdings Corporation. ADSs are US-traded certificates that represent shares in a non-US company. Here, each ADS carries the right to receive one-tenth (1/10) of one common share 3, 4.

Kioxia’s potential US listing moves the memory-chip contest from dealmaking to the US stock market

A US listing would steer Kioxia away from industry consolidation and toward US capital markets, where Western Digital already trades 1.
It could also help Kioxia reach investors looking for AI-related technology exposure, a theme that has shaped Western Digital’s stock story 1.
Investors would gain another yardstick for comparing Kioxia with memory and storage peers, including the “pure-play” label that came up around Western Digital after the merger ended 1.
For semiconductor companies, a US listing can offer another way to raise money when a cross-border merger gets too hard. Kioxia has said the plan is not final and may end without a listing.