Kioxia says investment vehicle for SK Hynix is top shareholder
The firm’s annual report lists SK Hynix’s claim as risk factor, saying it represents a possible conflict of interest
Kioxia's annual report reveals that SK Hynix is its largest shareholder, a fact that poses a potential conflict of interest. The flash memory maker's former parent, Toshiba, has reduced its stake in Kioxia to approximately 14.12%, down from 14.48% as of August 3. BCPE Pangea Cayman2, an investment vehicle established by Bain Capital, now holds a 14.19% stake in Kioxia, making it the company's top shareholder.
SK Hynix, through its ownership of bonds convertible into nearly all of BCPE Pangea Cayman2's voting rights, holds significant influence over the Japanese chipmaker. Part of a 2018 consortium acquisition by SK Hynix, the Korean firm agreed to maintain its stake at or below 15% of Kioxia's voting rights until 2028, unless Kioxia allows a larger stake.
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Also reported by 2 other outlets
- SK hynix faces dilemma as de facto largest Kioxia shareholder koreatimes.co.kr
- Kioxia says investment vehicle for SK Hynix is top shareholder japantimes.co.jp
