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Hardware & electrical equipment

Arm targets $52 billion valuation as IPO pricing confirmed

ARM Holdings is seeking a valuation of more than $52 billion in its initial public offering, the chip designer confirmed today, as it prepares for the biggest US stock market flotation of the year.

In a filing, Arm's parent company, Softbank said the IPO would be priced between $47 and $51 per share, raising an initial $4.9 billion for the Japanese firm.

SoftBank is offering 95.5 million American depository shares of the Cambridge-based company in the IPO and will retain a 90.6% stake after the offering closes.

Cornerstone investors including Apple, Google, Nvidia, Intel and TSMC have indicated they plan to purchase up to $735 million worth of Arm shares at the IPO price, the company said.

Arm has been owned privately by the Japanese investment company SoftBank since 2016 when it was taken off the London Stock Exchange in a £24 billion deal.

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