British Chipmaker Arm Valued at $54.5 Billion Before New York IPO

BySamson Ononeme

Sep 14, 2023
Arm IPO Valuation: A Whopping $54.5 Billion in New York Debut

Key Insights

  • British chipmaker Arm will offer its shares at an IPO in New York at $51 per share.
  • At that price, Arm’s IPO valuation of $54.5 billion makes it the biggest tech IPO.

British chipmaker Arm, owned by the Japanese holding SoftBank Group, will offer its shares at an IPO in New York at $51 per share. The offering volume is 95.5 million American Depositary Shares (ADS). A statement about this was published on the company’s website.

Initially, the company intended to conduct an IPO with a share price in the range of $47-51 per share. However, demand from investors significantly exceeded the volume of supply: the order book was oversubscribed 10 times, Bloomberg wrote.

ARM’s IPO Valuation is the largest in two years

At $51 per share, Arm’s valuation would be $54.5 billion, making it the largest tech IPO in two years. Electric van maker Rivian went public in 2021, selling 153 million shares and attracting $11.9 billion in investment. The company’s valuation during the IPO was $76.4 billion, and on the first day of trading its capitalization exceeded $90 billion.

Previously, SoftBank considered the possibility of selling Arm to Nvidia, one of the world’s largest manufacturers of graphics processors, for $40 billion, but last year the parties abandoned the deal amid opposition from antitrust authorities, writes Reuters.

As a result of the IPO, SoftBank, which offered investors just over 9% of Arm shares, will receive about $4.9 billion. After the ARM IPO, the Japanese group will still control about 90% of the company.

Major tech customers for Arm chips, including Apple, Google, Nvidia, Samsung, Intel and TSMC, previously said they were willing to buy $735 million worth of Arm shares at the IPO price, the Financial Times writes.

Read also! Top 7 Meme Stocks 2023 That Drive Investors Crazy

Arm shares will begin trading Thursday on the Nasdaq under the symbol ARM.


Samson Ononeme

Meet Samson Ononeme, a dynamic writer, editor, and CEO of With a passion for words and a sharp business acumen, Samson captivates readers with captivating storytelling and delivers insightful market analysis. He is a trailblazer in the finance industry, empowering individuals with knowledge and shaping the narrative of money. Get ready to be inspired by his literary prowess and entrepreneurial leadership.

Leave a Reply