Chip design firm Arm seeks up to $52 billion valuation in blockbuster U.S. IPO

Technology

The Arm website on a laptop arranged in New York, US, on Wednesday, Aug. 23, 2023. 
Gabby Jones | Bloomberg | Getty Images

Chip design firm Arm on Tuesday submitted an updated filing for its upcoming blockbuster initial public offering on the New York Stock Exchange, setting a price range between $47 and $51.

The company submitted its updated F-1 filing with the U.S. Securities and Exchange Commission, setting out its ambitions to once again become a publicly listed company. It was previously dually listed in London and New York, before SoftBank acquired it for $32 billion in 2016.

As a British company, Arm qualifies as a foreign private issuer in the U.S. and its shares will count as American depositary shares, or ADSs. Each ADS will be priced at between $47 and $51, Arm said.

Only 9.4% of Arm’s shares will be freely traded on the New York Stock Exchange, with SoftBank expected to own roughly 90.6% of the company’s outstanding shares following the completion of the IPO.

The underwriters for the listing have an option to purchase up to an additional 7 million American depositary shares, worth $735 million. If they choose to purchase these shares, SoftBank’s ownership of Arm will be reduced to 89.9%, the company said.

Articles You May Like

Putin ‘ready’ to meet Trump
DJ uses photos of Luigi Mangione during concert
Gunman fires at French migrant camp
Syrian rebel leader claims ‘victory’ in first speech since Assad fled
Mother of child at Wisconsin school talks about shooting