"'Arm to Pursue IPO Next Month, Samsung Electronics and Apple Likely to Participate as Investors'"

Nihon Keizai Report... Secures Clients as Investors
Plans to Apply for Listing Procedures This Month... Market Cap Expected to Exceed $60 Billion

The U.K. semiconductor company Arm's U.S. listing has been confirmed to proceed next month, drawing attention as Samsung Electronics, U.S. Apple, Intel, and others are expected to participate as investors upon the listing.

According to the Nihon Keizai Shimbun (Nikkei) on the 8th, SoftBank submitted preparatory application documents to the U.S. Securities and Exchange Commission (SEC) in April for Arm's initial public offering (IPO), and plans to file an application to proceed with the formal IPO process within this month.

[Image source=Reuters Yonhap News]

Arm's market capitalization is expected to exceed $60 billion (approximately 79 trillion KRW) at the time of listing, and based on this, it is projected to secure $8 billion to $10 billion in funds.

In particular, Arm plans to allocate certain shares to Apple, Samsung Electronics, Nvidia, Intel, and others as mid- to long-term shareholders simultaneously with the listing. A major foreign media outlet reported that Amazon, which is expanding its cloud business, is also being discussed as a potential participant.

Arm is reportedly adopting a strategy to secure its major global corporate customers as anchor investors, strengthening relationships with them while attracting investor interest at the time of listing.

Arm is considered the largest IPO candidate worldwide in the second half of this year. As a fabless semiconductor design company, Arm possesses core technology that forms the basis for designing computer central processing units (CPUs) and smartphone application processor (AP) chips. This company, which holds a 90% market share in the mobile chip design sector, has recently expanded and developed technologies related to the AI industry, including acquiring data center semiconductor design capabilities.

Arm was acquired in 2016 by SoftBank, led by Chairman Masayoshi Son, for $32 billion. Afterward, SoftBank's management situation worsened, and although it initially agreed in September 2020 to sell Arm to Nvidia for $40 billion, the deal was canceled last year due to opposition from regulatory authorities in various countries, leading to the pursuit of an IPO since then.

This content was produced with the assistance of AI translation services.