Tesla CEO Elon Musk is joining Amazon.com, Samsung, and others in voicing concerns to U.S. regulators over Nvidia's planned $40 billion acquisition of U.K. chip designer Arm Limited.
Under the terms of the transaction, which has been approved by the boards of directors of NVIDIA, SoftBank Group and Arm, NVIDIA will pay to SoftBank a total of $21.5 billion in NVIDIA common stock and $12 billion in cashfor substantially all of Arm. The number of NVIDIA shares to be issued at closing was expected to be 44.3 million. Additionally, SoftBank may receive up to $5 billion in cash or common stock under an earn-out construct, subject to satisfaction of specific financial performance targets by Arm.
The deal is scheduled to close in September 2021 if regulators approve.