By Charlie Conchie
The float of British chipmaker Arm pocketed its advisors $84m (£68m) worth of fees in the biggest payout bonanza in nearly five years, according to new analysis.
Cambridge-based Arm debuted on the Nasdaq exchange in New York on Thursday in the biggest IPO so far this year.
The Softbank-owned chipmaker paid out seven times more to its advisers than the average listing in the third most expensive float in the past decade, according to analysis of filings by the Financial Times.
Some $51m of the total payout went on accounting fees, with auditor Deloitte bagging a bumper payday. Arm also dished out $17m on legal fees, with Morrison & Foerster the main beneficiary, the Financial Times reported.
Arm’s float in New York has triggered hopes of a revival in the global IPO market after shares rocketed in its first two days trading.
Shares in the firm soared almost 25 per cent above their Nasdaq debut on Thursday before settling on Friday. The float was the biggest of the year and was 12 times oversubscribed from investors.
The IPO market has been largely shuttered over the past 18 months as markets are roiled by rising interest rates and rampant inflation.
Globally, just 615 firms raised $60.9bn in the first half of the year, a 36 per cent fall in value on an already torrid 2022.
