Nvidia won’t buy Arm: The biggest chip deal in history is scrapped
Nvidia’s proposed purchase of Arm for an estimated $40 billion in cash and stock was expected to have a difficult time winning the approval of regulators. It could not, and the two companies have called off the agreement. Nvidia and Softbank, which owns Arm, said that the proposed deal had been terminated. Softbank will keep a $1.25bn prepayment, but will instead divest of Arm via a public offering rather than an outright sale. That IPO will take place sometime before Softbank’s fiscal year ends on 31 March 2023. “The parties agreed to terminate the Agreement because of significant regulatory challenges preventing the consummation of the transaction, despite good faith efforts by the parties,” the two companies said in a statement. The proposed agreement became much more challenging when the Federal…