By Taiwan Semiconductor Manufacturing Co. (TSMC) has announced its plans to invest up to $100 million in the initial public offering (IPO) of Arm Holdings.
In a special meeting held on Tuesday, TSMC’s board approved the investment, showing its confidence in Arm’s potential.
Arm and its underwriters are expected to price the IPO on Wednesday, after successfully completing a week-long roadshow pitch to investors. The American depositary shares of Arm are scheduled to start trading on Thursday on the Nasdaq.
With the British chip designer seeking a minimum valuation of $52 billion, TSMC’s investment underscores its belief in Arm’s growth prospects.
SoftBank Group, the current owner of Arm since 2016, is set to sell 95.5 million shares in the IPO, accounting for about 10% of the company. SoftBank will retain the remaining shares.
Arm has garnered support from several of its customers, including Nvidia, Samsung Electronics, and Apple, who have agreed to purchase shares in the IPO.
Taiwan Semiconductor Manufacturing Co. plans to invest up to $100 million in Arm Holdings’ upcoming IPO. With Arm seeking a valuation of at least $52 billion, this investment highlights TSMC’s confidence in the chip designer’s potential. The IPO is set to be priced on Wednesday, followed by trading of Arm’s shares on the Nasdaq on Thursday. SoftBank Group, the current owner of Arm, will sell 95.5 million shares in the IPO while retaining the remaining shares. Notably, Arm has garnered support from key customers such as Nvidia, Samsung Electronics, and Apple.
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