Expect significant new tariffs on Chinese imports and moderate levies on goods from other nations , as President-elect Donald Trump rolls out his protectionist agenda. However, with his preference for chaotic policymaking and sudden shifts , there’s uncertainty on how soon these import taxes will actually hit. Dubbed “ Tariff Man ,” Trump aims to use tariffs both strategically and tactically . He’s mentioned taxing all Chinese goods up to 60% and potentially setting 10%-20% tariffs on imports globally , but details on these plans remain vague . Key players within Trump’s team are divided: Robert Lighthizer , a staunch tariff advocate, sees permanent duties as crucial to balance US trade , while others, like billionaires John Paulson and Scott Bessent , view tariffs as temporary leverage. Trump’s previous administration had mixed feelings, especially on national security-related trade limits , which he sometimes dismissed, favoring an “open for business” approach. High-profile busin
Bain Capital is moving forward with a renewed plan to launch an initial public offering (IPO) for Kioxia Holdings Corp., aiming to raise approximately $500 million. This IPO, one of Japan’s most anticipated in recent years, is set to capitalize on the strong performance of the domestic semiconductor market and is expected to take place as early as the coming weeks.
Key Takeaways:
Kioxia's IPO Details: Bain Capital, which led a group of investors in acquiring Kioxia from Toshiba Corp. for $18 billion in 2018, is working with investment banks to list the Japanese NAND flash memory maker. The IPO could potentially value Kioxia at over 1.5 trillion yen ($10.3 billion), according to reports.
Market Context and Timing: The timing of the IPO appears favorable, with Japan's semiconductor market showing robust performance. The Nikkei 225 index has gained nearly 15% this year, and industry experts like Andrew Jackson of Ortus Advisors are optimistic about Kioxia's market prospects. Jackson believes the IPO will perform well, particularly given the strong outlook for the memory sector.
Historical Context: If successful, Kioxia’s $500 million IPO would be the largest in Japan since KKR & Co.-backed Kokusai Electric Corp.’s $1.5 billion listing in October 2023. Kokusai Electric’s shares have more than doubled since their offering, reflecting strong investor interest in the semiconductor industry.
Strategic Considerations: This IPO comes after Bain's previous attempts to list Kioxia and follows the collapse of merger talks between Kioxia and Western Digital Corp. last year. By pursuing an IPO now, Bain aims to leverage the positive momentum in the semiconductor market, driven by growing demand and favorable market conditions.
As Bain Capital prepares to list Kioxia, the success of this IPO could further boost Japan’s semiconductor sector and reinforce investor confidence in the country's technology and manufacturing industries.
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