KKR has reclaimed its position as the largest shareholder in Kokusai Electric after rival Applied Materials trimmed its stake in the Japanese semiconductor equipment maker. The investment firm now holds 10.58% of the company, narrowly edging out Applied Materials at 10.22%.
Applied Materials offloaded 10.7 million shares in an overnight transaction valued at approximately ¥50 billion ($328 million), reducing its position from 14.81% as of late September. The sale marks a reversal from July, when KKR divested shares and Applied Materials became the top holder.
The ownership shuffle continues a years-long unwinding of positions following a collapsed acquisition. Applied Materials attempted to buy Kokusai from KKR between 2019 and 2021, ultimately raising its offer to $3.5 billion. Chinese regulators refused approval, forcing the deal’s termination and leaving Applied Materials with a remaining stake.
KKR acquired Kokusai from Hitachi in 2017 and took the company public on the Tokyo Stock Exchange in October 2023. Since then, the private equity firm has steadily reduced its holdings through multiple secondary offerings, monetizing its investment while maintaining influence over the chipmaking equipment specialist.
The transaction leaves both shareholders with nearly identical stakes, creating an unusual ownership structure for the publicly traded manufacturer of batch processing systems used in semiconductor production.
