Following Kioxia's sharp decline, investors seeking to benefit indirectly through stakes held by companies around Kioxia rather than through direct ownership have attracted attention, with Orix specifically cited as a stock to watch.
As Kioxia Holdings has become a major focus among AI- and semiconductor-related stocks, the sharp decline in its shares has turned investors' attention to companies around it. One wealthy individual investor says that, rather than focusing on Kioxia itself, he is looking at other companies affected through their equity stakes, narrowing his investment targets partly from a risk-avoidance perspective.
The 3 stocks cited as ones to watch are Orix, ROHM and Chubu Electric Power. Although these companies do not directly own Kioxia shares, they are considered capable of benefiting indirectly through their equity interests. Regarding Orix, the investor said that while it has faced selling pressure amid rising interest rates, he considers its current valuation to be low.
The background includes developments related to Toshiba's shareholding restructuring. As a domestic consortium-led tender offer was accepted in 2023, Japan Industrial Partners (JIP)'s acquisition fund invested approximately ¥1 trillion. Approximately 17% of the Kioxia shares held by the fund are reportedly subject to equity-method accounting, underscoring the links between Kioxia and the companies around it.