The_King Posted March 20, 2020 Share Posted March 20, 2020 LONDON (BLOOMBERG) - SoftBank Group is seeking to raise an additional US$10 billion (S$14.5 billion) so its first Vision Fund can support portfolio companies battered by the coronavirus pandemic, according to people with knowledge of the matter. SoftBank is in talks with outside investors to provide US$5 billion, which will be matched by a US$5 billion contribution from the Japanese conglomerate, said the people, who requested anonymity because the talks are private. SoftBank may be unable to secure sufficient commitments from investors, in part because Middle Eastern sovereign wealth funds have been rocked by the steep decline in the price of oil. The novel coronavirus is sapping demand for ride hailing and other services provided by SoftBank-backed companies, heightening concern over the conglomerate's credit worthiness and the value of its investments. Even before the global pandemic, SoftBank founder Masayoshi Son was fielding criticism for his strategy of pouring billions of dollars into unproven and unprofitable startups, some of which - like We Co - failed to live up to the inflated valuations. His company's stock plunged by the most on record on Thursday in Tokyo, bringing the decline to almost 50 per cent in the past month alone, erasing as much as US$50 billion in market capitalization. The Vision Fund - which counts Saudi Arabia's Public Investment Fund and Abu Dhabi's Mubadala Investment Co as its biggest backers - had spent US$80.5 billion of its US$98.6 billion total as at Dec 31, according to filings. The fund plans to reserve some of the remaining cash to pay back a coupon attached to the Saudi investment, said some of the people. The new capital would be used to support struggling portfolio companies and to fund opportunistic acquisitions of smaller rivals whose valuations have also been battered, some of the people said. SoftBank is also reviewing the 88 companies in the first Vision Fund as well as ones in its nascent successor, Vision Fund 2, to ascertain their viability amid the pandemic, some of the people said. Some of these companies may not have sufficient cash on hand to survive for more than a year, one of the people added. Representatives for SoftBank and SoftBank Investment Advisers, the entity that manages the Vision Fund, declined to comment. Already, some of the fund's largest investments have taken a hit. Uber Technologies Inc shares have more than halved in the past month, in part because its ride-sharing service Uber Pool has been banned in certain geographies. Some of the other closely held companies including food delivery companies DoorDash Inc are poised to be beneficiaries as consumers around the world observe "shelter in place" orders and other mandated quarantining. 1 Link to comment Share on other sites More sharing options...
Homelander Posted March 20, 2020 Share Posted March 20, 2020 @socrates469bc your good fren asking for money liao 2 Link to comment Share on other sites More sharing options...
aaur4man Posted March 20, 2020 Share Posted March 20, 2020 What goes down must come up Dono who will be the next billionaire 1 Link to comment Share on other sites More sharing options...
socrates469bc Posted March 20, 2020 Share Posted March 20, 2020 27 minutes ago, The_King said: LONDON (BLOOMBERG) - SoftBank Group is seeking to raise an additional US$10 billion (S$14.5 billion) so its first Vision Fund can support portfolio companies battered by the coronavirus pandemic, according to people with knowledge of the matter. SoftBank is in talks with outside investors to provide US$5 billion, which will be matched by a US$5 billion contribution from the Japanese conglomerate, said the people, who requested anonymity because the talks are private. SoftBank may be unable to secure sufficient commitments from investors, in part because Middle Eastern sovereign wealth funds have been rocked by the steep decline in the price of oil. The novel coronavirus is sapping demand for ride hailing and other services provided by SoftBank-backed companies, heightening concern over the conglomerate's credit worthiness and the value of its investments. Even before the global pandemic, SoftBank founder Masayoshi Son was fielding criticism for his strategy of pouring billions of dollars into unproven and unprofitable startups, some of which - like We Co - failed to live up to the inflated valuations. His company's stock plunged by the most on record on Thursday in Tokyo, bringing the decline to almost 50 per cent in the past month alone, erasing as much as US$50 billion in market capitalization. The Vision Fund - which counts Saudi Arabia's Public Investment Fund and Abu Dhabi's Mubadala Investment Co as its biggest backers - had spent US$80.5 billion of its US$98.6 billion total as at Dec 31, according to filings. The fund plans to reserve some of the remaining cash to pay back a coupon attached to the Saudi investment, said some of the people. The new capital would be used to support struggling portfolio companies and to fund opportunistic acquisitions of smaller rivals whose valuations have also been battered, some of the people said. SoftBank is also reviewing the 88 companies in the first Vision Fund as well as ones in its nascent successor, Vision Fund 2, to ascertain their viability amid the pandemic, some of the people said. Some of these companies may not have sufficient cash on hand to survive for more than a year, one of the people added. Representatives for SoftBank and SoftBank Investment Advisers, the entity that manages the Vision Fund, declined to comment. Already, some of the fund's largest investments have taken a hit. Uber Technologies Inc shares have more than halved in the past month, in part because its ride-sharing service Uber Pool has been banned in certain geographies. Some of the other closely held companies including food delivery companies DoorDash Inc are poised to be beneficiaries as consumers around the world observe "shelter in place" orders and other mandated quarantining. 22 minutes ago, Homelander said: @socrates469bc your good fren asking for money liao alrdy ask son-san why he invested in kumgong companies like wework and uber/grab/socar. he told me these companies will be his next alibaba. i recommended investing in this computing area last yr and in particular this isreali starup but he too kumgong to understand the value of this technology. https://www.reuters.com/article/us-tech-quantum-machines-fundraising/israeli-quantum-computing-startup-quantum-machines-raises-17-5-million-idUSKBN21628A wahahahhahahhaha 1 Link to comment Share on other sites More sharing options...
socrates469bc Posted March 20, 2020 Share Posted March 20, 2020 24 minutes ago, aaur4man said: What goes down must come up Dono who will be the next billionaire i always subscribe to newton's law of gravitational. 1 Link to comment Share on other sites More sharing options...
aaur4man Posted March 20, 2020 Share Posted March 20, 2020 1 hour ago, socrates469bc said: i always subscribe to newton's law of gravitational. Ya already happened....now need to close full circle 1 Link to comment Share on other sites More sharing options...
socrates469bc Posted March 20, 2020 Share Posted March 20, 2020 1 minute ago, aaur4man said: Ya already happened....now need to close full circle yes, full circle indeed. On 3/19/2020 at 10:45 AM, socrates469bc said: ......... becos sti index is coming down to its 2003 level of 2000 and oil futures r at usd23/bbl, also almost the same price in 2003. 2003 was the yr when i started my journey to be a sakti trader. and the price level is back to when i started. really is a full cycle after 17 yrs. wahahahhahahhaha 1 Link to comment Share on other sites More sharing options...
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