Arm plots to bring in Nvidia as an anchor investor just months ahead of the chip designer’s listing in New York
IPO: Chip designer Arm will float in New York later this year
Arm is in talks to bring in Nvidia as an anchor investor just months before the chip designer’s listing in New York.
Nvidia, the world’s most valuable semiconductor company, abandoned its planned £50bn acquisition of Arm last year after the deal was challenged by regulators.
The Silicon Valley chipmaker is one of several Arm partners, including Intel, that the UK-based company hopes will take a long-term stake.
Potential investors are still negotiating with Arm about its valuation. Nvidia wants to come in at a price that would put Arm’s value at £27bn to £31bn, while Arm wants it closer to £62bn.
The aim of bringing in large anchor investors would be to bolster the share as SoftBank, which bought Arm in 2016 for £24bn, sells its stake.
Private technology companies and their advisors are looking to see if the float can succeed after years of falling new listings.