Arm prices IPO

Arm has priced  its IPO at $47-51 per share valuing the company at at $50-54 billion – compared to the estimated range of $19-73 billion.

It is thought that Arm will sell  10% of the company to raise $5-5.4 billion.

Anchor investors, which agree to take shares in advance of the offer, include: Apple, Nvidia, Alphabet, AMD, Intel, Samsung. Cadence Design Systems, and Synopsys.

Last month, in an internal transfer, Softbank bought the 25% of Arm which it has previously sold to its Vision Fund, for a price  which put a $64 billion value on Arm.

A problem with valuing Arm is the uncertainty over the revenues from Arm China in which Arm does not have a controlling interest and  which constitute 24% of Arm’s total revenues