Japan’s SoftBank Group has agreed to buy British chip designer ARM Holdings for 24.3 billion pounds (US$32 billion), signaling its growing ambitions in the Internet of Things sector.
Under the deal agreed by the boards of the two companies, SoftBank will pay 17 pounds in cash for each ARM share, representing a premium of around 43 percent to Friday’s closing share price, Reuters reported Monday.
SoftBank intends to preserve the ARM organization, including its headquarters in Cambridge in central England, its existing senior management team, brand and partnership-based business model.
The Japanese firm pledged to at least double ARM’s employee headcount in the UK and also boost its headcount outside of the country over the next five years, the report said.
According to Bloomberg, the deal represents the biggest ever for SoftBank, which is headed by its chairman Masayoshi Son.
SoftBank has become one of Japan’s most acquisitive companies, having earlier acquired stakes in firms such as Sprint Corp. and Alibaba Group.
– Contact us at [email protected]