Softbank Group Corp is exploring options for selling part or all of its stake in Arm Holdings Inc, either through a private deal or a public stock listing, people with knowledge of the matter have said.
If it pursues a listing, the chip-design company could go public as soon as next year, said the people, who asked not to be identified because the deliberations are private.
That would accelerate a timeline that Softbank founder Masayoshi Son laid out in 2018, estimating an initial share sale for Arm sometime in 2023, a goal repeated in October by Arm chief executive officer Simon Segars.
Son and his deputies began considering options in part because of the improving market for semiconductor companies, two of the people said.
A deal would also fit into Softbank’s strategy to unload many of its holdings and boost the stock price through buybacks.
Goldman Sachs Group Inc is advising on a potential deal, said the Wall Street Journal, which reported the news on Monday.
Representatives for Arm, Goldman Sachs and Softbank declined to comment.
Arm was the UK’s largest listed technology company, receiving royalties from companies such as Apple Inc and Samsung Electronics Co for chip designs used in the world’s most popular mobile phones and tablets.
When Son bought it for US$32 billion in 2016, change came fast. The company added about 2,000 employees and made plans for a new ￡48 million (US$60 million) UK office building.
Arm would need ample time to make preparations for a listing if it goes that route.
Softbank chief operating officer Marcelo Claure said in an interview with the Financial Times published on Monday that he does not expect Arm to be public in the next 12 months.
Arm, which is owned by Softbank and its US$100 billion Vision Fund, is looking to cut costs and improve earnings, one of the people familiar with the matter said.
The company lost ￥42.8 billion (US$398.95 million) in the fiscal year that ended in March. It is also planning to transfer its data and device-management business to parent Softbank to focus on its main semiconductor operations.
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