Goldman Sachs is set to lead the IPO of SoftBank’s arm in the United States, and it looks like they will.￼
SoftBank Group Corp. is a Japanese multinational conglomerate holding company based in Minato, Tokyo. It focuses on investment management, and it is found there. The group mainly invests in businesses in the technology, energy, and financial sectors. Over $100 billion is in the Vision Fund, the world’s largest technology-focused venture capital fund. It also runs the Vision Fund. Investors in the fund come from countries in the Middle East, such as sovereign wealth funds.
The company is known for the leadership of its founder and largest shareholder, Masayoshi Son, who is also the CEO.
It does business in broadband, fixed-line telecommunications, e-commerce, information technology, finance, media and marketing, and other areas, as well as other things. With 45.621 million customers as of March 2021, SoftBank Corporation is the third-largest wireless carrier in Japan. It was spun out of SoftBank and was the company’s main business before that.
SoftBank was on the Forbes Global 2000 list in 2017 as the 36th largest public company in the world and the second-largest public company in Japan, after Toyota.
SoftBank’s logo is based on the flag of the Kaientai, a naval trading company that Sakamoto Ryma started in 1865. It was near the end of the Tokugawa shogunate, and Sakamoto Ryoma made the flag.
SoftBank has strong ties to Mizuho Financial Group, its primary lender, despite not being part of a traditional group.
Vision and strength of SoftBank
Making a plan for 300 years of growth
The SoftBank Group has always thought that technology is essential to making the world better. People didn’t know how the Information Revolution would change how people communicated decades ago. We started as a pioneer in the Information Revolution, which changed how people spoke in ways no one thought possible.
People have moved from personal computers to the internet, broadband, and smartphones as the cutting-edge fields in this revolution have changed. We have been at the forefront of these changes, changing our business model to match.
We’re now in the next phase of change, driven by the artificial intelligence (AI) revolution that is set to change everything. In the next 20 years, we think there will be more innovation and change than in the last 300 years. This means that the way we live will change a lot. For example, we’ll change the way we work, get to work, and grow our food.
Through its Vision Funds, the SoftBank Group aims to help improve people’s lives worldwide by speeding up the adoption and development of Al and other cutting-edge technologies that will improve people’s lives. Our company is a leader in the Information Revolution, and we share a vision with the entrepreneurs in our portfolio, and we want to shape the future together.
Goldman Sachs is set to lead the IPO of SoftBank’s arm in the United States, and it looks like they will.
People who know about the plan say that SoftBank Group Corp will pick Goldman Sachs Group Inc to lead underwriters for the IPO of Arm Ltd, which could value British chip-designing company Arm Ltd at as much as $60 billion.
A deal to sell Arm to Nvidia Corp for $40 billion broke down last month because antitrust regulators in the U.S. and Europe objected. The preparations for an IPO came after that deal fell apart. Shares of Arm, the company owned by SoftBank, are now likely to be on the Nasdaq by March 2023.
SoftBank talked to investment banks about Arm’s IPO in the last few weeks, and they asked them to promise to give Arm a credit line as part of their promises, sources say. Goldman Sachs didn’t say how much they were willing to give out in a loan.
Bloomberg News said last month that SoftBank was asking banks for a loan of $8 billion that would be linked to the IPO stock of Arm, which SoftBank owns.
The sources, who asked not to be named because the preparations are private, said that SoftBank’s plans were subject to market conditions, and it could choose not to make the deal. SoftBank, Arm, and Goldman Sachs didn’t say anything.
SoftBank bought Arm, which makes Apple’s iPhone and most other phones run, for $32 billion in 2016.
Sales at Arm rose 40% in the nine months ending in December, SoftBank says. This was due to a lot of people wanting to buy chips. This is good news for the IPO, but it may not make up for the loss of the Nvidia deal in the short term. There had been a significant rise in the value of Nvidia shares, which made Arm worth more than $80 billion at one point under their deal to merge with cash and stock.
Masayoshi Son, the founder of SoftBank, said last month that Arm’s IPO would be the biggest in semiconductor history. The sources say there are still unknowns about where SoftBank plans to put Arm on the stock market, and SoftBank is likely to put Arm up for sale in the US.
SoftBank said it would sell Arm to Nvidia in 2020. Last Year, the FTC tried to stop it, saying it would hurt competition in new markets for chips in self-driving cars and a new type of networking chips.
There was a lot of attention from British and European Union regulators about the deal, and it had not yet been approved in China.
After the deal was scrapped, Arm hired Rene Haas to be CEO instead of Simon Segars. Haas has worked in the computer industry for a long time, and he joined Arm in 2013 and worked for seven years at Nvidia before that.
Companies like Qualcomm, Apple, and Samsung use Arm’s architecture and technology to make chips for things like phones and computers.