Private-equity giant KKR has scored a win in Japan, and with a chip price rebound probably around the corner, their timing looks impeccable. Investors should consider going along for the ride.

Semiconductor equipment maker Kokusai Electric will start trading Wednesday in Tokyo after raising around $720 million in an initial public offering last week. That makes the deal Japan’s largest IPO in almost five years, according to Dealogic. KKR has owned the company—which used to be controlled by Hitachi—since taking it private in 2018. Kokusai is valued at $2.8 billion at its IPO price, potentially netting KKR a return of more than 60% in Japanese yen terms, excluding leverage. Kokusai unloaded its video and communications systems business after KKR’s takeover.