An initial public offering (IPO) from a key global supplier of semiconductor materials is seeking to raise about ?460 billion ($3 billion) in what would be Japan¡¯s biggest such deal since 2018.

JX Advanced Metals, a unit of oil giant Eneos, set an indicative price of ?862 per share, according to a company filing to the Finance Ministry. Final pricing will be on March 10, and JX will list on the Tokyo Stock Exchange on March 19.

The deal would exceed last year¡¯s blockbuster share debut of subway operator Tokyo Metro, and be the largest since SoftBank¡¯s listing in December 2018.

The share offering points to what may be another stellar year for Japanese IPOs, which outperformed the region in 2024. The mega deal from the metals company is being closely watched by other firms seeking to go public, and as a guide to whether the market¡¯s bullishness will be sustained.

This large deal would set the tone for upcoming IPOs, said Takamasa Ikeda, a senior portfolio manager at GCI Asset Management. He added that if JX¡¯s share performance after listing is solid, it should support sentiment, especially for retail investors.

Japan¡¯s biggest oil refiner Eneos is selling as many as 534.9 million shares, and has said it would use funds raised to improve shareholder returns and investment in decarbonization. Tokyo-based Eneos reported Friday that its third-quarter operating income beat estimates.

The listing should help promote corporate value for both companies, Eneos said in October as JX shifts its focus to become a market leader in the semiconductor and technology sectors.

JX has about 60% of the global market share for so-called sputtering target materials, which are used in the circuitry of semiconductors, according to its website. This means the IPO will also reflect demand for chips, a critical component in the fast-developing artificial intelligence sector.

Joint global coordinators on the deal are Daiwa Securities Group, JPMorgan Chase & Co., Morgan Stanley and Mizuho Financial Group.

The nation¡¯s IPO market saw more than ?960 billion of offerings last year, with major deals including Kioxia Holdings and Rigaku Holdings. The total proceeds was the largest since 2018 as private equity fund-backed listings like MBK Partners-backed Kuroda Group took place.