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Arm is said to be heading to the United States for an IPO as early as September: the largest IPO of a chip company, with a maximum funding of $10 bill

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Update time : 2023-05-13 11:32:08
        According to reports, people familiar with the matter said today that Arm, a chip design company of SoftBank Group, will go to the United States for an IPO (initial public offering) as early as September this year, with a maximum financing of US$10 billion (currently about 69.50 billion yuan).
        SoftBank began testing investor interest in the IPO, which could raise up to $10 billion, as early as September in New York, according to people familiar with the matter. According to data, the IPO is expected to be the world's largest IPO this year.

        Last month, Arm secretly filed to be listed in the United States. Goldman Sachs, JPMorgan Chase, Barclays and Mizuho Financial Group were listed as underwriters for the IPO, people familiar with the matter said. More banks are expected to join in the future. The matter is still under discussion, and a final decision on the size and timing of the IPO will depend on the specifics of the stock market, the people said. Representatives for Arm, Goldman Sachs, JPMorgan, Mizuho and SoftBank declined to comment, while a Barclays spokesman did not immediately comment.
        SoftBank founder Masayoshi Son has said he hopes Arm's IPO will be the largest ever for a chip company. Bankers expect Arm to be valued at between $30 billion and $70 billion. Such a wide valuation gap shows that valuing Arm also faces challenges at a time when share prices in the current semiconductor market are volatile.

        Analysts said Arm IPO could not only bolster SoftBank's balance sheet, but could also provide it with more money to make new investments. Yesterday, SoftBank just released its results for the 2022 fiscal year ending March 31, 2023, with a net loss of 970.14 billion yen, narrower than the loss of 1.70 trillion yen in the same period last year. Among them, the "Vision Fund" of the technology investment unit lost 4.30 trillion yen, while the loss of 2.55 trillion yen in the same period last year.
        In March, it was revealed Arm planned to adjust its business model to raise the price of its chip designs to attract investors, hoping to boost the company's revenue ahead of the IPO. It was also reported last month that Arm is building its own chips to demonstrate its product manufacturing capabilities.


 
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