Connect with us

Hi, what are you looking for?

6T News6T News


Samsung talks put future of British chip-maker Arm future in doubt

Alliance: Masayoshi Son, chief executive of Softbank, Arm's parent company, will travel to Seoul next week to discuss a

British chipmaker Arm’s future uncertain again as Japanese owner flies to Korea for talks with Samsung

The future of British chipmaker Arm has been further uncertain as its Japanese owner flies to South Korea for talks with Samsung.

Masayoshi Son, chief executive of Arm’s parent company SoftBank, will discuss a “strategic alliance” with Samsung for the British tech giant.

The move sparked fears that Arm’s successful stock float could be “put on ice.”

Alliance: Masayoshi Son, chief executive of Softbank, Arm's parent company, will travel to Seoul next week to discuss a

Alliance: Masayoshi Son, chief executive of Softbank, Arm’s parent company, will travel to Seoul next week to discuss a “strategic alliance” with Samsung for British tech giant Arm

According to sources, Son wants to see if Samsung would take a stake in Arm as he got cold feet listing it in New York or London before March.

Son said, “I can’t wait to visit Korea for the first time in three years. I would like to speak with Samsung about a strategic alliance with Arm.

A Samsung executive replied, “A strategic alliance is a vague and broad term. If he offers to sell us Arm, we’ll have to think about it.

Son has explored Arm’s listing in New York – and possibly London – but worries about the global downturn. A slump in tech stocks on the Nasdaq in New York cast doubt on Arm’s £40bn valuation.

A stake sale to Samsung would give Arm a much-needed valuation ahead of a second float attempt in 18 months to two years.

Arm was sold to SoftBank for £24 billion in 2016. A £31 billion sale proposal to Nvidia fell through last year due to regulatory hurdles.

Following Nvidia’s setback, Son focused on an initial public offering for Arm in the US, a move that sparked intense lobbying by the UK government to ensure part of the listing took place. in London.

Russ Shaw, of Tech London Advocates, said: “It’s debatable whether a floater would currently provide the value Son was looking for.

“His other option is to bring in an investor like Samsung, get a pre-float valuation and get back into the markets when conditions improve.” Timing is everything.

A source close to Arm said: “The float appears to be on ice.” Samsung’s meeting comes as Prime Minister Liz Truss and Chancellor Kwasi Kwarteng are expected to hold talks with SoftBank bosses.

Former Prime Minister Boris Johnson lobbied SoftBank to list Arm in London, but SoftBank halted talks due to government changes. Andrew Griffith, Financial Secretary to the Treasury, would help renew efforts.

Click to comment

Leave a Reply

Your email address will not be published.

You May Also Like


Coronation Street star Mollie Gallagher is the fifth celebrity to sign up for Dancing on Ice’s new series. The news broke on Thursday’s episode...

Trending News

Financial crook Jordan Belfort spent 22 months in prison after it was brought to light that he had scammed more than 1,500 people out...

Latest News

Medications work better if you expect them to, study finds. Appendicitis patients who thought antibiotics would help were ‘significantly’ more likely to see their...

Trending News

From a £9 anti-aging cream to an affordable alternative to KitchenAid’s stand mixer, these are the best-selling products MailOnline readers loved in September By...