the future British chip designer ARM’s IPO has been delayed until 2023. The company, after confirming it, has blamed this new problem in the development of its IPO on the global economic situation, due to fears that if economic conditions worsen in the short term, investors may back down. when buying company shares.
ARM planned to go public this year after the purchase of Nvidia collapsed. Shortly after the first rumors began to be heard that the company was preparing an IPO, but now, given the current situation, there are also voices that speculate that ARM may not go public.
The company has already contacted shareholders to inform them that the company will not go public well into 2023. In addition, they have confirmed to The Register that although the operation is delayed, the process that will lead to the IPO continues. For now, Softbank has not made any further comments on the matter.
From ARM, however, they have indicated that “given the state of the financial markets, it is unlikely that ARM will go public in the first quarter of 2023. However, we have advanced our preparation process for the IPO and continue fully committed to an IPO in 2023.”
However, the SoftBank CEO and President Masayoshi Son, has indicated in the company’s fiscal second quarter results presentation that it planned to dedicate itself body and soul to growing ARM as a business over the next few years, which has raised questions about whether it will postpone further its IPO, or it will directly abandon these plans. son has said that «in the next few years I would like to focus only on this. I’d like to focus on ARM’s next explosive growth, and I’m going to dedicate myself to it.either”. So did not mention the future listing of the company at any time.
In principle, ARM wanted to propose a starting price that would value it at around 60,000 million dollars, but now figures are being considered that would take it up to 40,000 or 50,000 million. Meanwhile, it has achieved a record royalty income in the quarter that ended on September 30: 463.2 million dollars.
However, the company’s total revenue fell on a decline in licensing as its management tries to diversify beyond its strongest sectors: smartphones and mobile devices. All with the goal of getting their chip designs more widespread adoption. Mainly, in computers and data centers.
