News
Applied Materials halves stake in Kokusai Electric to 5.08 percent
Monday, February 2, 2026 at 09:09 AM
Applied Materials has reduced its stake in Kokusai Electric, selling shares to bring its ownership down to 5.08 percent from its previous holding level.
Context
Applied Materials has significantly reduced its investment in Japanese chip-making equipment manufacturer Kokusai Electric, halving its ownership stake to 5.08%. This divestment follows a series of transactions aimed at rebalancing the U.S. company’s portfolio after its failed $3.5 billion acquisition bid for Kokusai in 2021, which was abandoned due to a lack of regulatory approval from China.
The move comes as Kokusai Electric continues its growth as an independent public entity following its October 2023 IPO, which was the largest in Japan in five years. While Applied Materials remains a strategic partner, the sale signals a shift toward capital reallocation for the semiconductor giant. Investors are monitoring the impact on the broader supply chain, as Kokusai dominates the global market for batch processing tools essential for high-end memory and logic chip fabrication.
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