TSMC Clears All Arm Shares, Cashing in Approximately $231 Million
The world's largest contract chip manufacturer, Taiwan Semiconductor Manufacturing Company (TSMC), disclosed in its latest company filings that it has sold all of its shares in Arm Holdings, officially ending its equity investment relationship with the chip design company.
The filings show that TSMC's subsidiary, TSMC Partners, sold 1.11 million Arm shares between April 28th and 29th at an average transaction price of $207.65 per share, realizing approximately $231 million. Following the transaction, TSMC no longer holds any Arm shares.
According to the disclosure, this equity disposal had an impact of $174 million on TSMC's retained earnings, and the company defined the transaction in its filings as part of an "equity investment disposal."
TSMC invested in Arm during the chip design company's initial public offering (IPO) in 2023, investing approximately $100 million and subscribing at a price of $51 per share, along with several other strategic investors. Since then, TSMC has gradually reduced its holdings in Arm.
The filings recall that TSMC previously sold 850,000 Arm shares in 2024 at an average transaction price of $119.47 per share, realizing approximately $102 million. With this further reduction and complete liquidation of its holdings, TSMC has completed its full exit from Arm's equity.
Prior to the disclosure of TSMC's latest round of share reduction, Arm's stock price fell 7.98% on Tuesday.
This transaction does not change TSMC's core foundry position in the global semiconductor industry chain, but demonstrates its continued proactive adjustments in financial investment and equity layout, realizing capital recovery and locking in book gains through phased exits from equity investments.