The head of Arm’s China business, Allen Wu, has made a RMB 1.2 billion ($179 million) gain on a personal investment he made in one of the chip designer’s Chinese clients, after falling out with Arm over alleged conflicts of interest, reported the Financial Times.
Wu has been fighting Arm for control of the Chinese joint venture since June last year, when he disregarded a 7-1 vote by Arm China’s board to remove him. He remains Arm China’s legal representative and holds the company’s official stamp, making it difficult to dislodge him.
Wu’s RMB 1.2 billion windfall came from a 2019 investment in Bestechnic, which designs audio chips using Arm’s energy efficient blueprints and listed publicly in Shanghai last month. The RMB 127 million investment was made by three investment funds under Wu’s control, including the $100 million fund he set up, Alphatecture.