Abu Dhabi’s Mubadala Investment Co. has started preparations for a US initial public offering of chipmaker GlobalFoundries, people with knowledge of the matter said. The sovereign wealth fund has been having initial discussions with potential advisers about a listing of GlobalFoundries that could value the business at about $20bn, according to the people. It hasn’t yet selected underwriters, the people said, asking not to be identified because the information is private.

Technology companies have already raised $20bn in US IPOs this year, according to data compiled by Bloomberg. Deliberations are at an early stage, and details of the potential deal could change, the people said.

The IPO market has been booming since last year, with firms from South Korean e-commerce operator Coupang to food-delivery service DoorDash jumping on their debuts. The technology-heavy Nasdaq Composite Index has gained 70 per cent over the past 12 months, outpacing the 47 per cent gain in the S&P 500 Index.


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Source: Gulf Business