Before political unrest last year forced a change in the composition of the UK government, officials were in talks with SoftBank, the Japanese company that controls the ARM business, to take the chipmaker public in both New York and London . For UK authorities, this would be a sign of investor confidence in the local stock market and would underscore the prestige of UK-born assets in the tech sector. Negotiations resumed under a new prime minister, Rishi Sunak.
As already mentioned, the relative stabilization of the political situation in the country was awaited financial times, UK authorities held talks in London last month, attended by both Arm management and SoftBank founder Masayoshi Son, who attended via video conference. The parties again discussed the possibility of a dual offering of Arm’s shares in New York and London.
Sources say UK officials have described the outcome of the talks as constructive and positive. SoftBank is prioritizing Arm’s New York offering because it will raise more funds and require less overhead than a concurrent London offering. Now, while we’re not talking that Arm shares should return to both exchanges earlier this year, SoftBank is being given the opportunity to wait for a more favorable period for their listing. On the other hand, Mobileye’s IPO in October gives Arm’s owners some optimism in that regard. Masayoshi Son intends to devote all his time and resources to Arm in the near future, as he made clear last November. The company’s shares were listed on the London Stock Exchange until 2016, when SoftBank Corporation bought the company for $32 billion. After missing an opportunity to sell Arm’s assets to American company NVIDIA a year ago, the company is now looking for other ways to raise capital.