Flash memory maker Kioxia Holdings Corp. will likely list its shares on the Tokyo Stock Exchange in October, sources familiar with the matter said Tuesday, in what would be one of the largest initial public offerings this year with its market capitalization estimated at over 3 trillion yen ($28 billion).

The bourse is expected to approve the debut on the First Section of Kioxia, formerly known as Toshiba Memory Holdings Corp., as early as Thursday, according to the sources.

Kioxia, a major flash memory manufacturer, initially planned to go public in 2019 but dropped the plan due to poor earnings.

Toshiba Corp. sold its former chip-making subsidiary to a consortium led by U.S. private equity fund Bain Capital for about 2 trillion yen in 2018 as part of restructuring to overcome financial difficulties.

Toshiba, which holds a 40.2 percent stake in Kioxia, has said it plans to sell its holdings after the chipmaker goes public and return part of the proceeds to Toshiba shareholders.

Kioxia reported 14.7 billion yen in operating profit on sales of 267.5 billion yen in the April-June period, compared with an operating profit of 12.1 billion yen on sales of 279.6 billion in the previous quarter ended in March.

==Kyodo

© Kyodo News International, Inc., source Newswire