SoftBank nets $16 billion on Arm earnings pop, exceeding its total losses in WeWork

SoftBank experienced a surge in its stake in chip designer Arm during after-hours trading on Wednesday. The significant increase in value offset the losses SoftBank incurred from its ill-fated investment in WeWork, a bet that ultimately led to the office-sharing company’s bankruptcy. Arm reported better-than-expected earnings, causing its shares to skyrocket by 41%. SoftBank, which still owns about 90% of Arm, saw its stake jump by nearly $16 billion. The windfall comes as SoftBank continues to recover from the losses incurred from its investments in WeWork. SoftBank’s lock-up provision prevents it from selling Arm shares until mid-March.