A number of companies have become Arm IPO strategic investors

Earlier, Arm had already submitted its Initial Public Offering (IPO) documentation to NASDAQ in the United States, aspiring to trade under the ticker symbol “ARM.” As scheduled, Arm will commence its roadshow next week, setting the IPO price the following week before making its debut on NASDAQ.

According to Reuters, SoftBank Group, which holds dominion over Arm, has identified a myriad of technological titans, including Apple, NVIDIA, Intel, Samsung, AMD, and Google, as strategic investors for Arm’s IPO. Speculation abounds that Arm’s ultimate valuation oscillates between $50 billion and $55 billion. This figure, intriguingly, falls short of the valuation posited when SoftBank Group acquired Arm, which was approximated at $64 billion.

Informed sources unveil that SoftBank Group has been diligently deliberating with Arm’s clientele and partners in recent months to crystallize the final arrangement, with each investor poised to inject funds ranging from $25 million to $100 million. Given that numerous tech behemoths opt for Arm’s technology in fabricating their System on Chips (SoCs), there’s ample rationale for investment. The participation of several substantial-tech enterprises has robustly propelled Arm’s listing endeavors, edging them closer to their target valuation. Previously, Amazon was also woven into the tapestry of strategic investors. However, for reasons undisclosed, this retail colossus opted to extricate itself from the transaction.

In 2016, SoftBank Group acquired Arm for $32 billion and intended to vend it to NVIDIA in 2020 for a sum approximating $40 billion. However, this maneuver was stymied by a cadre of regulatory bodies. Over the recent years, SoftBank Group’s operational state has been somewhat lackluster, with Arm, despite being a pinnacle in the industry, not furnishing substantial returns.