Chip designer Arm to pause spin-off of its software units to SoftBank

Credit: REUTERS/NEIL HALL

Chip company Arm Holdings Ltd said on Monday it has put the brakes on the proposed transfer of two of its software businesses to its Japan-based parent SoftBank Group Corp.

Aug 24 (Reuters) - Chip company Arm Holdings Ltd said on Monday it has put the brakes on the proposed transfer of two of its software businesses to its Japan-based parent SoftBank Group Corp 9984.T.

In July, Arm said it would transfer two units under its internet-of-things services group to Softbank and that it was aiming to complete the transfer by September.

Arm, which supplies chips for virtually all mobile devices, said on Monday it has opted to keep the two units with separate accounting structures.

SoftBank, a telecommunications carrier, acquired Arm for $32 billion in 2016, its largest-ever purchase, in part to expand into the "internet of things" sector, which connects everyday devices from traffic signals to refrigerators to the internet.

SoftBank declined to comment.

(Reporting by Neha Malara in Bengaluru and Stephen Nellis in San Francisco; Editing by Shounak Dasgupta)

((Neha.Malara@thomsonreuters.com; within U.S.+1 646 223 8780; outside U.S. +91 80 6749 3443))

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Reuters

Reuters, the news and media division of Thomson Reuters, is the world’s largest international multimedia news provider reaching more than one billion people every day. Reuters provides trusted business, financial, national, and international news to professionals via Thomson Reuters desktops, the world's media organizations, and directly to consumers at Reuters.com and via Reuters TV.

Learn More