SoftBank triples down on solo strategy for Vision Fund 2
SoftBank is tripling its commitment to investing in private companies, amid record quarterly profits.
Why it matters: Just a year ago, SoftBank's $100 billion Vision Fund was in the red and incapable of attracting outside investors.
- The result was a decision not to raise a second Vision Fund from outside investors, instead funding "Vision Fund 2" with $10 billion from SoftBank's own balance sheet.
- That commitment has now increased to $30 billion.
What they're saying: "Right now, we would like to continue investing with our own cash," said SoftBank chairman and CEO Masayoshi Son during a Wednesday presentation to analysts, adding that the company plans to recycle its returns from the first fund into Vision Fund 2.
- "It's not that we don't invite third-party participation, it’s that we don't have to beg," he added.
By the numbers:
- SoftBank's net income for the fiscal year ending March 31 was 4.99 trillion yen ($45.9 billion), and 1.93 trillion yen ($17.7 billion) in the most recent quarter.
- The Vision Fund unit netted 2.3 trillion yen ($21.2 billion) in profit for the quarter.