Tokyo Stock Exchange approves new listing of Socionext
🟦 Socionext IPO
Socionext, a Japan fabless semiconductor company, has been approved to list on the TSE Prime Market on October 12, 2022. Fujitsu, Panasonic, and the Japan Development Bank of Japan, which do not issue new shares but invest in them, will sell about one-third of their shareholdings. Based on the assumed price stated in the securities registration statement, the market capitalization will be 117.1 billion yen.
It is a semiconductor company that Fujitsu and Panasonic divisions merged in 2015 and is a fabless semiconductor company without a factory. We design and develop system-on-chip (SoCs) tailored to specific customers and products for automotive, communications, and data centers.
🟦 Initially, IPO within 5 years of establishment
Our goal was to have an IPO within 5 years of establishment, but it was decided to realize it in the 8th year of establishment. Socionext cites the purpose of the IPO as ensuring a public presence that is not dependent on specific capital. With the IPO, Fujitsu’s shareholding ratio is expected to be less than 30%.
- Shareholder composition Before → after IPO
- Fujitsu 43% → 29%
- Japan Development Bank: 40%→ 23%
- Panasonic 17% → 13%
To ensure a status independent of specific capital, Socionext will be newly listed in the eighth year of its establishment.
By going public, it will be easier to raise funds and develop in advanced semiconductor processes. I think it’s a good thing that fabless semiconductor public companies can do Japan.