Arm's listing on Nasdaq will be the biggest IPO in 2023. Picture Getty
IPO Watch
On Monday, giant British chipmaker Arm filed for its highly anticipated IPO on the Nasdaq.
The IPO will be 2023’s largest listing, with the company’s American Depositary Shares (ADS) set to debut with a market cap of between US$60 to $70 billion under the ticker “ARM”.
It’s a big win for Japan’s Softbank Vision Fund and its charismatic founder Masayoshi Son, who acquired Arm in 2016 for just US$32 billion.
It’s understood that Softbank will only float 10% of the shares when they trade on Nasdaq sometime in September.
There are also rumours that Apple and Samsung have locked in and secured a big chunk of the shares before they even hit the market.
Headquartered in Cambridge, England, Arm is one of the most important companies globally. Nearly all smartphones in the world have chips designed by the company.
Arm isn’t a chipmaker per se; rather, it is responsible for coming up with the architectures and the overall designs of the chips.
Arm’s business model is mainly to license the intellectual property for these architectures, so that they can build systems around them.
After slumping for almost two years, the IPO market has gradually come to life and suddenly, everyone is talking about IPOs again.
Public listings in the US over the past few weeks include Cava, Savers Value Village, and Vietnamese electric vehicles maker, VinFast Auto.
Three major US tech firms — namely grocery delivery firm Instacart, software firm Databricks and digital identity verification firm Socure — are also reportedly considering listing according to Bloomberg.
Instacart, the heavily venture-backed software company, is one the market is watching closely.
Founded in 2012, Instacart exploded during Covid. Experts believe Instacart is a tricky story because its ad sales have risen while transactions on groceries aren’t growing very much post-pandemic. The company is also competing strongly with other providers like DoorDash and Uber.
| Code | Name | IPO Price | Current Price | Return | Market cap | Listing date |
|---|---|---|---|---|---|---|
| DYM | Dynamicmetals | 0.2 | 0.275 | 38% | $9,800,000 | 16/1/2023 |
| LM1 | Leeuwin Metals | 0.25 | 0.295 | 18% | $13,435,500 | 29/3/2023 |
| EG1 | Evergreenlithium | 0.25 | 0.285 | 14% | $16,025,550 | 11/4/2023 |
| ILT | Iltani Resources Lim | 0.2 | 0.2 | 0% | $8,357,520 | 30/6/2023 |
| RDX | Redox | 2.55 | 2.55 | 0% | $1,317,954,384 | 3/7/2023 |
| AUG | Augustus Minerals | 0.2 | 0.195 | -3% | $15,720,900 | 25/5/2023 |
| ACM | Aus Critical Mineral | 0.2 | 0.18 | -10% | $5,351,625 | 3/7/2023 |
| CHW | Chilwaminerals | 0.2 | 0.175 | -13% | $8,028,125 | 5/7/2023 |
| HTM | High-Tech Metals | 0.2 | 0.175 | -13% | $4,315,760 | 23/1/2023 |
| ASK | Abacus Storage King | 1.41 | 1.23 | -13% | $1,662,340,247 | 1/8/2023 |
| DY6 | Dy6Metals | 0.2 | 0.165 | -18% | $6,555,624 | 29/6/2023 |
| NGX | NGX | 0.2 | 0.165 | -18% | $14,950,954 | 16/6/2023 |
| PL3 | Patagonia Lithium | 0.2 | 0.155 | -23% | $8,085,578 | 31/3/2023 |
| CVB | CurveBeam AI | 0.48 | 0.315 | -34% | $87,774,718 | 23/8/2023 |
| SQX | SQX Resources | 0.2 | 0.125 | -38% | $3,375,000 | 20/2/2023 |
| GHY | Gold Hydrogen | 0.5 | 0.28 | -44% | $16,507,677 | 13/1/2023 |
| VHM | VHM | 1.35 | 0.58 | -57% | $80,432,964 | 9/1/2023 |
| ADC | Acdc Metals | 0.2 | 0.074 | -63% | $3,483,365 | 17/1/2023 |
| ACE | Acusensus | 4 | 0.7 | -83% | $88,304,983 | 12/1/2023 |
| COV | Cleo Diagnostics | 0.2 | 0.215 | 7% | $95,580,000 | 22/8/2023 |
*Note: there was a 5:1 stock split for ACE
There were two new ASX IPO listings this week.
CurveBeam AI (ASX:CVB), a highly anticipated listing on the ASX, finally made its debut on Wednesday this week.
The company focuses on artificial intelligence (AI) -powered medical imaging (CT) scanners.
Based in Melbourne, CurveBeam is a leader in cone beam CT imaging, paving new frontiers in AI-based bone and joint analysis.
At the close of day, CVB’s stock price slumped to 34c with a market cap of around $80m, down from the 48c IPO price.
Another lister this week was Cleo Diagnostics (ASX:COV), a medical diagnostics and devices development company focusing on ovarian cancer.
Early detection is the name of the game for COV, which made its debut on the ASX after raising $12 million at 20 cents per share.
At the time of writing, COV stock price was trading at 20c.
Now read: Ovarian cancer fighter Cleo Diagnostics lists following $12 million IPO
Meanwhile, road safety solutions company Acusensus (ASX:ACE) seems to have lost 80% since IPO.
However this is misleading because at the Extraordinary General Meeting held on July 25th, ACE’s shareholders agreed for their shares to be split on a 5:1 basis.
Taking this into effect, the return so far should really be down by only -12.5%.
All dates are sourced from the ASX website. They could change without notice.
Expected listing: September 7th
IPO: $6m at $0.20
At listing, James Bay Minerals will have 100% ownership of 22,438 Ha (224km2) of prospective lithium projects within the James Bay region of Quebec.
The La Grande Project is located between 50km to 190km east of Radisson in northwest Quebec.
The Project comprises three key prospects:
Joule Prospect – 50km south-east of Radisson consisting of 205 claims covering ~10,498 hectares;
Aero Prospect – 150km east of Radisson consisting of 89 claims covering ~4,366 hectares; and
Aqua Prospect – 190km east of Radisson consisting of 63 claims covering ~3,225 hectares.
Expected listing: September 14th
IPO: $7.5m at $0.20
Novo is a Canadian gold explorer listed on the TSX and OTCQX.
It owns one of the largest prospective gold and battery metals land packages in the Pilbara.
The Nullagine Gold Project is located approximately 185 km north of Newman, and within the Mosquito Creek Basin.
The Project includes the 1.8 Mtpa CIL processing facility, an onsite laboratory, 10 MW power station, and fully permitted TSF along with a facility to process mechanical sorter products.
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