SoftBank Nearing Deal to Sell Arm Holdings to Nvidia for More Than $40B

SoftBank Group Corp. is nearing a deal to sell British chip designer Arm Holdings to Nvidia Corp. for more than $40 billion, according to people familiar with the matter, the latest in a series of big asset sales by the Japanese technology conglomerate.

The cash-and-stock deal being discussed would value Arm in the low $40 billions, the people said. The terms under discussion would mark a big win for SoftBank, which bought Arm four years ago for $32 billion and had struggled to jump-start growth in the business.

Arm and Nvidia have been in exclusive talks for several weeks and a deal could be sealed early next week, the people said—assuming it isn’t derailed at the last minute.

An $8+ billion ROI through this sale, wow. I wonder what the final terms of the sale will be, if it's just a straight exchange cash for business or if they'll maintain some kind of stake in Arm or NVIDIA. I'm not a financial person, I don't know how these things typically work. Though I guess the real fun begins with the potential legal proceedings on whether to allow the sale at all.