One of the UK’s leading semiconductor manufacturers has hinted that it could be nearing a deal with Softbank after it began restructuring its balance sheet.
SoftBank, the Japanese tech investor, is said to be interested in buying Bristol-based Graphcore, with reports earlier this month indicating that discussions between the two were underway.
Now, Graphcore plans to cancel its share premium account, which is worth US$723 million as of its last financial statement.
Removal of a share premium account provides a company with greater ease in returning cash to shareholders through dividends and buybacks.
It is also common ahead of corporate events such as a takeover when a business is required to alter its share capital structure.
Graphcore shareholders and creditors who want to dispute the move were invited to appear at a court hearing on May 29.
A sales process for the microchip firm was launched back in February, although it’s believed SoftBank have been interested in the UK firm since last year.
It came after Graphcore struggled to find a sustainable route into the AI industry, causing its £2.3 billion to tumble.
New funding would help offset the heavy losses suffered by Graphcore over recent years and keep the company in a position to remain in operation.