UK Edition
Arm could eventually be relisted, Softbank hints
British chip-maker Arm could ultimately be relisted by Softbank as part of an exit deal for the technology giant's $93bn (£66bn) venture capital fund, according to a senior Softbank executive.
Arm, one of the UK's biggest technology firms, which designs chips for smartphones including Apple's iPhone, was taken private by Softbank for £24bn two years ago.
Softbank corporate executive Yoshimitsu Goto suggested to investors at a closed event that a 25pc stake in Arm could be put up for a float over the 12-year life cycle of the Softbank Vision Fund, the technology giant's venture capital fund.
Mr Goto told bankers at the Credit Suisse Asian Investment Conference in Hong Kong that "one possibility is relisting Arm in the future", the Financial Times reported.
While Cambridge-headquartered Arm is currently owned by Softbank, the Japanese company plans to move a quarter of its holding into its $93bn fund, which has been used to take stakes in Uber and UK start-up Improbable.
No decision has been made on the future of that stake in Arm, which is still in the process of being acquired by the Vision Fund from its parent company, although it is understood a float of the stake could be one such option.
The Vision Fund offers an investment period of five years after its final closing, and a minimum fund period of 12 years, so any deal to float the Arm stake could be several years away. Softbank declined to comment on Mr Goto's remarks.
Softbank's swoop on Arm in July 2016 represented the first major foreign takeover of a UK company since the vote to leave the European Union. At the time Masayoshi Son, Softbank chief executive, said Arm would be a long-term strategic investment for the company, providing an opportunity to capture the growing market for 'Internet of Things' connected devices.
Softbank is currently considering a float of its mobile phone business. The $18bn initial public offering is expected to be a dual listing between Tokyo and London. The Telegraph recently revealed Softbank had hired Citi and Mizhuo to advise on the deal.