18 Oct 2016, 12:02 pm
The SoftBank Vision Fund will be managed in the UK by a SoftBank subsidiary and will deploy capital from SoftBank and investment partners. It will invest at least $25 billion over the next five years and the fund could grow as large as $100 billion, Softbank said.
The Public Investment Fund (PIF) of the Kingdom of Saudi Arabia has signed a memorandum of understanding (MoU) with the bank and "will consider investing in the fund and becoming the lead investment partner, with the potential investment size of up to $45 billion over the next five years", SoftBank said.
A "few" large global investors are also discussing the possibility of joining the fund, SoftBank said.
SoftBank chairman Masayoshi Son said: "With the establishment of the SoftBank Vision Fund, we will be able to step up investments in technology companies globally. Over the next decade, the SoftBank Vision Fund will be the biggest investor in the technology sector."
Mohammed Bin Salman, Saudi Arabia's deputy crown prince and the chairman of PIF said: "The Public Investment Fund is focused on achieving attractive long term financial returns from its investments at home and abroad, as well as supporting the Kingdom's Vision 2030 strategy to develop a diversified economy. We are delighted to sign this memorandum of understanding with SoftBank."