AI Frenzy Prompts Nvidia's Once Takeover Target Arm Holdings To Boost IPO Price

British chip designer Arm Holdings Ltd. eyes boosting the price range of its initial public offering after its share sale gets subscribed sixfold.

Softbank Group Corp SFTBF SFTBY backed chip designer filed for its IPO at $47 - $51 a share, bagging a valuation of $54.5 billion, slightly below the prior valuation target of $60 billion - $70 billion.

Also Read: SoftBank Backed Arm Eyes $52B IPO with T. Rowe Price as Key Player

The final pricing of an IPO is likely on Wednesday, and the stock will start trading on Thursday, Bloomberg cites familiar sources. Arm looked to raise $4.87 billion via the IPO.

The once Nvidia Corp NVDA takeover target expects revenue growth of 11% in its current fiscal year and an increase in the mid-20% range in fiscal 2025, courtesy of demand for chips to power data centers and artificial intelligence.

CEO Rene Haas expects robust growth to continue into the 2026 fiscal year, with a high percentage growth in revenue.

Price Action: SFTBY shares closed higher by 0.61% at $21.48 on Monday.