The divestment was carried out through its subsidiary, TSMC Partners, which offloaded 1.11 million Arm shares between April 28 and 29 at an average price of $207.65 per share. The transaction generated proceeds of approximately $231 million.
The company reported that the sale had an accounting impact on retained earnings of about $174 million, reflecting the financial effect of exiting the position. Following this latest disposal, TSMC no longer holds any equity in Arm.
According to the filing, the transaction forms part of a broader strategy to dispose of an equity investment rather than maintain a long-term strategic holding in the chip designer.
TSMC’s involvement with Arm dates back to the company’s initial public offering in 2023, when it invested roughly $100 million at $51 per share, alongside several other strategic investors. However, its exposure has steadily declined since then. In 2024, it sold 850,000 shares at $119.47 each, raising about $102 million, marking the beginning of its gradual exit.
The latest sale completes that process, fully unwinding its position just over a year after Arm’s market debut.
Arm shares, which have been closely watched by semiconductor investors due to the company’s central role in mobile and AI chip architecture, fell 7.98% on Tuesday, reflecting broader volatility in the technology sector and investor reassessment of high-growth semiconductor valuations.