Arm, the chipmaker owned by Japan’s SoftBank, filed for a listing on Nasdaq on Monday, in a historically slow period for tech IPOs.
The company wants to trade under the ticker symbol “ARM,” CNBC reported.
Arm reported $524 million in net profit on $2.68 billion in revenue in its 2023 fiscal year, which ended in March, according to the filing.
The UK-based company confidentially filed for a US listing earlier this year after previously announcing it was going public in the country on the UK, dealing a heavy blow to the UK Stock Exchange. London.
SoftBank originally sought to sell Arm to chip giant Nvidia, but the deal faced major pushback from regulators, who raised concerns about competition and national security. SoftBank took Arm private in 2016 in a deal valued at $32 billion.
Arm plays a pivotal role in the world of consumer electronics, designing the architecture of the chips found in 99 percent of all smartphones, making it a key technology provider for Apple, Google and Qualcomm. .
But the company is also facing headwinds from a slowdown in demand for products like smartphones, which has hit chipmakers across the board.
Arm’s net sales fell 4.6 percent on-year in the second quarter as the unit posted losses, according to SoftBank’s earnings release.
ARM is poised to hit the market at a time when investors are flocking to next-generation semiconductors due to demand driven by artificial intelligence, especially the growing popularity of generative AI applications. Nvidia, the biggest chipmaker in the generative AI boom, has seen its share price triple this year.
However, the tech IPO market has been largely dormant for the past 20 months, with no notable company-backed deals since December 2021.
Some technology investors may be looking at the ARM offering as a sign of demand for new offerings.
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