SoftBank’s Arm files to list shares in US as London blow confirmed

SoftBank-owned chip design firm Arm has filed for a US listing in a move which cements its decision to thwart London markets for the US and paves the way for one of the largest initial public offerings (IPOs) of the year.

SoftBank confirmed on Monday that Arm had submitted a draft registration statement to the US Securities and Exchange Commission (SEC) on Saturday to list its shares in the US.

In a statement, SoftBank said the size and price range for the proposed offering had not yet been confirmed.

Reports said the company was aiming to raise between $8bn and $10bn.

The Cambridge-based chip manufacturer announced it would pursue a US listing in March, in a blow to the UK’s efforts to spur a listing on the London Stock Exchange and encourage more tech companies to seek flotations in the UK. 

Successive government ministers — including Prime Minister Rishi Sunak — held talks with SoftBank to persuade it to consider listing the company in the UK. 

Arm was listed in London before it was snapped up by the Japanese conglomerate for £24.6bn in 2016.

The group’s decision to push ahead with plans to list in the US comes as other British-based companies have ditched London and sought out listings elsewhere. 

Last week, Building supplier CRH said it would press ahead with plans to shift its listing from London to New York. London-listed gambling company Flutter also won shareholder approval to launch a secondary listing in the US, paving the way for it to switch its primary listing in the future.

SoftBank Group had been looking for an alternative for Arm — which designs microchips for Apple, Samsung and the Taiwan Semiconductor Manufacturing Company — since its deal to sell the company for $40bn to US chipmaker Nvidia was called off in 2022.