Masayoshi Son, the founder and CEO of SoftBank Group Corp., said Friday that the Japanese company was most likely to list British chip designer unit Arm on Nasdaq, though he emphasised that no decision had been taken.
Son stated during the company’s annual general meeting that the majority of Arm’s clients are located in Silicon Valley and that the American stock markets would “love to have Arm.”
Son stated that there were requests to list Arm in London as well, but he did not specify from whom. The businessman did not specify whether the company was thinking about Arm having a secondary listing there.
The majority of the billionaire’s presentation was devoted to highlighting Arm’s commercial opportunities after the company decided to list after an agreed-upon transaction to Nvidia fell through.
Before being purchased by SoftBank in 2016 for $32 billion, the Cambridge-based company had a primary listing in Britain and a secondary listing in the United States.
Arm is a key source of funding for SoftBank, which has borrowed $8 billion against the unit’s shares and purchased $13.2 billion in prepaid forward contracts using shares of Chinese e-commerce behemoth Alibaba Group Holding Ltd.
With SoftBank’s Vision Fund business reporting a record loss in May, Son is facing pressure from shareholders as values of the high-growth stocks he favours decline along with investment targets and interest rates.
Since the annual general meeting of last year, SoftBank’s stock has decreased by around a third. Son urged investors to look at the company in the long term.
Son cited a Japanese proverb: “Even fruit takes that long. Peaches and chestnuts take three years, persimmons take eight years.” “I’m sure there will be something delicious if you wait five to ten years.”
Son joked that even while he can no longer drive the ball as far on the golf course, he still isn’t losing games as he defended his continued suitability for his position as one of Japan’s most prominent business leaders more than 40 years after starting the company.
The 64-year-old said to shareholders, “I’m still full of energy, optimism, and dreams.
Son said that only his hair was receding.