Wednesday, July 12th 2023
NVIDIA Reportedly Interested in Becoming Arm IPO Anchor Investor
Several big players in the industry have (reportedly) presented themselves as potential anchor investors in Ltd. Japan's SoftBank Group Corp, the owner of the British semiconductor and software design company is preparing an initial public offering (IPO) in the USA, with a likely kick-off date in September. The Financial Times has today claimed that NVIDIA was invited (by Softbank) to actively negotiate with Arm leadership with the aim to join a group of prospective IPO anchor investors. Citing insider sources who have been briefed about ongoing deliberations—Team Green could be proposing an investment of roughly $35 billion to $40 billion.
The report suggests that SoftBank would prefer an offer closer to $70 - 80 billion—it seems that more haggling is on the cards. NVIDIA is a longtime partner and client of Arm, with the former attempting to buyout the latter over a year ago—but their agreement was terminated due to "significant regulatory challenges" in regions including the US, UK and China. At the time, the scuppered deal's estimated value was widely reported being $66 billion.
Sources:
Financial Times, The Register
The report suggests that SoftBank would prefer an offer closer to $70 - 80 billion—it seems that more haggling is on the cards. NVIDIA is a longtime partner and client of Arm, with the former attempting to buyout the latter over a year ago—but their agreement was terminated due to "significant regulatory challenges" in regions including the US, UK and China. At the time, the scuppered deal's estimated value was widely reported being $66 billion.
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