Many big names are backing Arm’s IPO and would already invest up to $100 million in the company.

Arm-owner SoftBank has landed a nice list of strategic investors, according to a Bloomberg report. According to internal sources, names such as Apple, Alphabet (Google), AMD, Intel, Nvidia, Samsung, Cadence and Synopsis are most concrete shortly before Arm’s IPO.

Since the first news that Arm is preparing for an IPO, the Japanese SoftBank has been in intensive discussions with all current Arm customers and partners. The plans are currently being finalized. Investors would put up anywhere from $25 million to $100 million, which is a nice impetus for an IPO. The more you invest up front, the more confidence you have for the first day of trading.

SoftBank originally aimed to raise between $8 billion and $10 billion, but has revised that goal down to $5 billion to $7 billion. Arm is valued at $60 billion to $70 billion.

Surfing the AI ​​hype

A successful IPO of Arm is critical to SoftBank, particularly the organization’s Vision Fund arm. It lost $30 billion last year. A strong IPO would be an important positive signal for the group. With the current AI hype, Arm hopes to enjoy the monster wins that Nvidia in particular is making.

In September 2020, Nvidia announced the acquisition of English Arm for $40 billion. We wrote back then that the chip world would never be the same again, but that never happened. Many regulators around the world blocked the deal. After two years of fighting, Nvidia threw in the towel, after which SoftBank announced its intention to go public.

The countdown to Arm’s public offering has begun. The British chipmaker announced late last month that it had filed an “F-1” form with the US Securities and Exchange Commission. It’s a formality, as the company wants to list on Nasdaq as a non-US company. The homework has been done and in September it will be announced how many shares will be sold and at what price.