Hitachi Mandates Six Banks for IPO of US-Based Hard Drive Unit

Strategic Insights -

Japanese electronics maker Hitachi Ltd has entrusted six banks with the initial public offering (IPO) of its US-based hard drive unit, Hitachi Global Storage Technologies. The transaction is expected to raise around USD1bn, with Citigroup, Goldman Sachs, JPMorgan, Morgan Stanley, Bank of America Corp, and Nomura Holdings tasked with managing the deal. Meanwhile, Hitachi has declined to comment on the company's plans for a listing, stating that they are considering various options for future growth.

Key Takeaways:

  • Hitachi Ltd has mandated six banks for the IPO of its US-based hard drive unit, Hitachi Global Storage Technologies.
  • The banks involved are Citigroup, Goldman Sachs, JPMorgan, Morgan Stanley, Bank of America Corp, and Nomura Holdings.
  • The transaction is expected to raise around USD1bn.
  • Hitachi's spokeswoman, Hajime Kito, has declined to comment on the company's plans for a listing, stating that they are considering various options for future growth.
  • Hitachi Global Storage Technologies is a subsidiary of Hitachi Ltd.
  • This is one of several options that Hitachi is considering for its future growth.

Statistics:

  • USD1bn: expected amount to be raised from the IPO.
  • Six banks: number of banks mandated by Hitachi for the IPO.
  • 6501: stock ticker symbol for Hitachi Ltd on the Tokyo Stock Exchange.
  • 8604: stock ticker symbol for Nomura Holdings on the Tokyo Stock Exchange.
  • 4.15: closing price of Citigroup on 05-05-2010, as indicated by the Comtex SmarTrend Alert.
  • 149.59: closing price of Goldman Sachs on 09-09-2010, as indicated by the Comtex SmarTrend Alert.
  • 13.97: closing price of Bank of America Corp on 09-18-2010, as indicated by the Comtex SmarTrend Alert.

Sources:

  • Bloomberg
  • M2 EQUITYBITES via COMTEX
  • M2 Communications http://www.m2.com
  • Comtex News Network, Inc. http://www.mysmartrend.com