Discover how Indian IPOs transformed SoftBank's fortunes - Vision Fund sees massive gains!

Unlock Exclusive Insights with the Editor’s Digest

Every week, Roula Khalaf, the Editor of the Financial Times, handpicks her top stories for the Editor’s Digest newsletter, offering readers a curated selection of compelling content. In this issue, we delve into SoftBank Group’s impressive turnaround, driven by successful IPOs and tech valuations.

SoftBank’s Remarkable Recovery:
- SoftBank Group reported a significant profit of ¥1.2tn ($7.8bn) in its latest quarter, surpassing analysts’ expectations by a wide margin.
- This remarkable rebound follows losses in previous quarters, showcasing the company’s resilience and strategic investment choices.
- The impressive performance was fueled by the success of its risk-taking Vision Funds, reporting investment gains of ¥608bn.
Exciting IPOs and Valuation Boosts:
- SoftBank’s investments in Indian companies like Ola Electric and FirstCry led to successful IPOs, lifting overall valuations by $1.7bn.
- The company anticipates further valuation boosts with the upcoming IPO of Indian food delivery group Swiggy, despite the competitive market landscape.
- Valuation gains from investments in companies like Coupang and DiDi were also instrumental in SoftBank’s financial success.
Future Investments and Strategic Shifts:
- SoftBank’s visionary CEO, Masayoshi Son, is eyeing the production of chips for artificial intelligence as a key area for future investment.
- Despite challenges, including market volatility, SoftBank remains financially strong with a cash position of ¥3.8tn, enabling continued AI investments.
- Son’s ambitious plans to expand into AI and chip production could position SoftBank in direct competition with industry giants like Nvidia.

In conclusion, SoftBank’s recent performance highlights its ability to navigate turbulent markets and make strategic investments that drive growth. As the company continues to innovate and expand its presence in key sectors like AI, investors and industry analysts eagerly await the next phase of Son’s visionary strategy. Stay tuned for more exclusive insights and updates in the Editor’s Digest newsletter.