Sources say that Arm is 10 times oversubscribed in IPO in the United States.

According to people familiar with the matter, British chip designer Arm's initial public offering (IPO) in the United States has been 10 times oversubscribed, and investment banks plan to stop taking subscriptions by Tuesday afternoon local time.

ARM, controlled by Japan's Softbank Corp. Group, will stop accepting subscriptions one day early on Tuesday, but its plan to price the shares remains unchanged on Wednesday, according to foreign media citing people familiar with the matter. It is not uncommon for a company's IPO to stop accepting subscriptions early and is usually a sign of strong investor demand.

People familiar with the matter added that the Arm IPO could eventually be up to 15 times oversubscribed by Wednesday, but everything has not yet been determined and could change at any time.

Arm representatives declined to comment.

There were earlier reports that Arm was considering raising the price range of the IPO offering price.

When customers finally price IPO, underwriters usually try to create positive momentum. It was reported earlier that the subscription for Arm would end early.

Arm filed to go public at between $47 and $51 a share, valuing the company at $54.5 billion at the top of the offering price range.