[ksec]

>which raises the question why they are interested in buying Arm to begin with

Softbank needs to liquidate some of its asset due to the genius work of con-man WeWork losing them tens of billions. The original purchase price for ARM was something like 100 - 120 P/E in 2016. And the current earnings are still 100 -120 P/E with no immediate or short term profits growth. The prospect of the company's fundamentals and future growth hasn't changed since 2016.

Who in the right mind would want to buy a company for P/E 100+ with no visible growth factor?

And since no one wants to buy it, Softbank had to find a buyer. Softbank is one of the largest shareholders in Nvidia. And with its current stock price that was a perfect fit.

Of course that is ignoring Nvidia could have said No. I guess Softbank could decide to liquidate its position on Nvidia instead.

[rrss]

googling "softbank stake in nvidia" gives me "SoftBank Sells Entire Nvidia Stake" from 2019: https://www.wsj.com/articles/softbank-sells-entire-nvidia-st...

Is your information about SoftBank being a major shareholder in nvidia up to date?

[ksec]

Thank You for Fact Checking. Looks like I was wrong about Nvidia ( My memory might have mixed up a few things ). But the ARM P/E point still stands.

Feeling bad for spreading misinformation. :(

I will need to double check on Son, Softbank and Nvidia again.