ARM Holdings, the British chipmaker at the heart of the smartphone revolution, is soon to have a new owner. It's agreed to sell itself to Japan's Softbank, in a deal that values it at a stonking £24.3bn. Finally, a massive tech deal done in pounds.
The deal sees current shareholders in the company wake up to a 42 per cent increase in the value of their investment, and the company itself already survived the Brexit plunge that damaged some UK-based shares thanks to making much of its income from overseas sales and winning on the exchange rate plummet. That said, the devaluation of the pound could have shaved about £5bn off the asking price.
To reassure workers here, Softbank's said it plans to keep the global headquarters of the business in Cambridge, where staff currently enjoy river punting bonding days, and has also claimed it expects to double the UK-based workforce numbers over the next five years. So as long as Apple keeps winning and buying its stuff, it should be business as usual.
Softbank's boss Masayoshi Son said: "We have long admired ARM as a world renowned and highly respected technology company that is by some distance the market-leader in its field. ARM will be an excellent strategic fit within the SoftBank group as we invest to capture the very significant opportunities provided by the 'Internet of Things'." [Telegraph]
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