< Back to all clusters
[BUSINESS] · Japan, South Korea · 6 sources

started · updated

SK hynix becomes de facto largest shareholder of Kioxia

SK hynix has emerged as the de facto largest shareholder of Japanese NAND flash memory manufacturer Kioxia. This shift follows a series of share sales by Toshiba, which previously held the top position.

According to regulatory filings, BCPE Pangea Cayman2 (SPC2)—a special purpose company established by Bain Capital and invested in by SK hynix—now holds a 14.19 percent stake in Kioxia. This surpasses Toshiba's stake, which recently decreased to approximately 14.12 percent.

While SPC2 is the official largest stakeholder, SK hynix maintains significant influence through its holdings of convertible bonds within the entity. If these bonds are converted into common shares, SK hynix could secure a dominant position. However, such a conversion would require antitrust approvals from multiple jurisdictions, including Japan, the United States, the European Union, and China.

Kioxia has noted in its annual reports that SK hynix's convertible bond holdings represent a potential conflict of interest risk factor. Additionally, a 2018 agreement stipulates that SK hynix's voting rights are limited to under 15 percent without Kioxia's consent until 2028.

Entities

BCPE Pangea Cayman2 · Bain Capital · Kioxia · SK Hynix · Toshiba

Claims

What the coverage asserts, and how many sources carry each claim.