UK investors could have a chance to buy shares in Arm even if he decides not to list in London
UK investors could have a chance to buy shares in Arm even if he decides not to list in London.
If the Cambridge-based computer chipmaker chooses to list its shares on the US stock market instead, investors here may still be able to buy shares through a retail offering, according to technology markets platform PrimaryBid.
The company, which allows retail investors to buy shares in companies during fundraising and new listings, pitched the idea to government ministers.
Focused on the US: Softbank founder Masayoshi Son (pictured) plans to float Arm on Wall Street with a value of at least £48billion
PrimaryBid boss Anand Sambasivan said UK investors “want and deserve access” to Arm’s listing.
“A London listing would be ideal, but there’s no reason the UK public should miss out,” he told Bloomberg.
The proposal follows a similar arrangement entered into by PrimaryBid for the registration of member club owner Soho House in the United States in 2021.
The pitch comes as hopes fade that Arm’s owner, Japanese conglomerate SoftBank, which is coincidentally PrimaryBid’s biggest investor, will opt for a UK listing and put the company on Wall Street with a worth at least £48 billion.
Prime Minister Rishi Sunak lobbied hard to convince SoftBank founder Masayoshi Son to list Arm shares in the UK through a dual listing of shares in London and New York to strengthen the city’s competitiveness after Brexit.
There were also arguments that a dual listing would allow Arm to join the FTSE stock indices, meaning it could be bought by tracking funds, while increasing the ability of its shares to be traded.
But Son has so far focused on a US listing due to its large investor base and higher valuations.
Arm is a key player in the global computer chip industry, with its designs used in a range of electronic devices from phones to cars.
Its processor designs are used in about 95% of mobile phones, according to the group’s website.
Its importance has become even more acute amid a global shortage of computer chips and growing fears that Taiwan, the world’s largest supplier, could be overrun by China.
A PrimaryBid bid would be something of a consolation prize for UK investors after the battle to keep Arm closer to its roots in Cambridge, where it was established in the 1970s as Acorn Computers.
