Blackbeard Posted July 18, 2016 Share Posted July 18, 2016 I don't understand what point you are trying to make. The pound is lower which will attract business from abroad and it makes sense for a foreign company intending to buy a UK company, to buy now before the pound rises again. Did that used to be called a fire sale? Link to comment Share on other sites More sharing options...
Gamston Posted July 18, 2016 Share Posted July 18, 2016 Did that used to be called a fire sale? The company is not struggling, so it hardly can be called a fire sale. Link to comment Share on other sites More sharing options...
El Cid Posted July 18, 2016 Share Posted July 18, 2016 I read ARM intended to double the workforce, slight difference but quite significant. As is the fact that this, very important, company would be in foreign hands. I have no issues with it, just reporting what is being said, as Softbank explicitly stated the soft pound, it is part of the consequences thread. In an ideal world it would be a rich Englishman buying up foreign companies, not the other way around, so it is negative to have a lower pound. Link to comment Share on other sites More sharing options...
the_bloke Posted July 18, 2016 Share Posted July 18, 2016 I read ARM intended to double the workforce, slight difference but quite significant. As is the fact that this, very important, company would be in foreign hands. I have no issues with it, just reporting what is being said, as Softbank explicitly stated the soft pound, it is part of the consequences thread. Reports suggest they are to make the doubling of the workforce a legally binding part of the deal. An independent auditor will be appointed to keep track of it. ARM has been ripe for sale for years, I'm surprised they've made it this long without extra investment. Link to comment Share on other sites More sharing options...
tzijlstra Posted July 18, 2016 Author Share Posted July 18, 2016 What drop? JPY/GBP is not significantly lower since June and is still around 20% up on the year. Wow, really? Not often you get one wrong cgksheff. ---------- Post added 18-07-2016 at 14:29 ---------- Reports suggest they are to make the doubling of the workforce a legally binding part of the deal. An independent auditor will be appointed to keep track of it. ARM has been ripe for sale for years, I'm surprised they've made it this long without extra investment. That is certainly true, but it is no coincidence that this sale is triggered now, not last year. Link to comment Share on other sites More sharing options...
cgksheff Posted July 18, 2016 Share Posted July 18, 2016 Wow, really? ......... I thought something was strange ... I was looking at the inverse chart JPY/GBP! Link to comment Share on other sites More sharing options...
tzijlstra Posted July 18, 2016 Author Share Posted July 18, 2016 I thought something was strange ... I was looking at the inverse chart JPY/GBP! Happens to the best of us (Make sure before you make a big business deal though!) Link to comment Share on other sites More sharing options...
Berberis Posted July 18, 2016 Share Posted July 18, 2016 I thought something was strange ... I was looking at the inverse chart JPY/GBP! Were you using an Australian Proxy? Not to worry, it's a breath of fresh air when people admit their mistakes. All to uncommon on here I'm afraid Link to comment Share on other sites More sharing options...
L00b Posted July 18, 2016 Share Posted July 18, 2016 Reports suggest they are to make the doubling of the workforce a legally binding part of the deal. An independent auditor will be appointed to keep track of it.It's an untested legal mechanism, which might end up not worth the paper it's (not yet) written on. Saying that, Softbank are generally 'good guys' in high tech corporate terms, having a long-in-charge head with a proven track record of long to very long term punts. This really doesn't look like a quick cash buy riding on a favourable FOREX for asset stripping. For now anyway. It's not as bad as if it had been Samsung, Lenovo or Apple...though they might rear their head soon. Link to comment Share on other sites More sharing options...
Blackbeard Posted July 18, 2016 Share Posted July 18, 2016 The company is not struggling, so it hardly can be called a fire sale. The company is fine it is the country that seems to be in trouble. "1689.00GBp Anyone who cares about Europe's technology scene will be sad to see ARM Holdings become a unit of Japanese conglomerate SoftBank.As for the U.K., it seems odd (to put it mildly) that it appears content to cede control of arguably its lone tech champion, a week after new prime minister Theresa May professed her distaste for foreign takeovers of science-rich British companies. True, it's hard to characterize SoftBank as a wicked asset stripper in the vein of U.S. drugmaker Pfizer. The Japanese have promised to keep the headquarters in Cambridge and double the number of British jobs over five years.But it's hard to swallow the spin about this showing a Britain that remains open to business after last month's cataclysmic Brexit vote. As Gadfly colleague Chris Hughes predicted before the vote, ARM has been put in reach of overseas purchasers precisely because the post-vote sterling slump makes expensive deals look slightly less forbidding. SoftBank may well end up a benign owner with no need for dreaded synergies, but future investment decisions will probably be made in Japan, not the U.K." http://www.bloomberg.com/gadfly/articles/2016-07-18/arm-sale-to-softbank-a-sad-day-for-british-tech Link to comment Share on other sites More sharing options...
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