British tech giant Arm has decided to list in the US only in 2023 as “the best way forward for the company”.
Arm, the SoftBank-owned semiconductor technology company, recently announced its intention to seek an exclusive US listing in 2023. On Friday, Arm put to rest speculation that it might pursue a primary or secondary listing in the UK. United.
In a statement, Arm CEO Rene Haas said:
“After engaging with the UK government and the Financial Conduct Authority for several months, SoftBank and Arm have determined that seeking an exclusive Arm listing in the US in 2023 is the best way forward for the company and its stakeholders. ”.
Arm’s decision to choose a US listing ostensibly over the UK one dashes the UK government’s hopes. The UK government expected the tech giant to return to the London Stock Exchange. However, Arm said that he has not ruled out an eventual listing in the European nation. Without further details, the chip designer revealed plans to consider a subsequent UK IPO at an appropriate time.
British tech firm Arm said it would expand further in the UK by establishing a new facility in Bristol, England. The SoftBank-owned company also intends to maintain its headquarters, operations and material intellectual property in Great Britain.
Britain Responds to US Arm Listing
A UK government spokesman commented on Arm’s decision to list in the US. Referring to the country’s ongoing efforts to create a welcoming hunting ground for leading companies in various sectors, the spokesman explained:
“The UK is pursuing ambitious reforms to the rules governing its capital markets, building on our continued success as Europe’s leading investment center and the world’s second largest. We continue to attract some of the world’s largest and most innovative companies, and we highlight Arm’s commitment to expanding its presence in the UK, driving growth, jobs and investment.”
British tech giant Arm was listed in London until Japanese financial conglomerate SoftBank bought it in 2016 for $32 billion. At the time, the deal drew much criticism for the minimal level of scrutiny shown by the British government. Chief among the complaints raised was the perception that the UK allowed foreign investors to buy its biggest export of technology.
As a leading technology success, Arm is the world’s largest provider of semiconductor design elements used in the manufacture of smartphones. The Cambridge-based semiconductor design and software company sells intellectual properties to technology mainstays including Apple (NASDAQ: AAPL) and Qualcomm (NASDAQ: QCOM).
In other recent news, China is delaying Arm’s plan to scrap his embattled joint venture in the East Asian country. Chinese officials reportedly refused to process the paperwork for the transfer of Arm China to a new Vision Fund entity.
However, regulators could still change their minds on the documentation, which has been filed since May of last year. In either case, document processing typically takes five to ten days to complete.
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Tolu is a Lagos-based blockchain and cryptocurrency enthusiast. He likes to demystify the crypto stories down to the basics so that anyone anywhere can understand them without too much prior knowledge. When he’s not up to his neck in crypto-stories, Tolu likes music, loves to sing, and is an avid movie buff.
