Latest News by Industry
• Shares of the company fell as low as 5,423 yen ($47.89) on Friday
• Grab fell over 20% on its Nasdaq debut on Thursday
Japanese conglomerate SoftBank Group Corp fell over 3% on Friday as the investor suffered three major blows including poor U.S. debut of Southeast Asia’s ride-hailing company Grab.
Shares of the company fell as low as 5,423 yen ($47.89) on Friday, before settling slightly higher. SoftBank suffered losses of 23% over three weeks.
SoftBank has made many investments in large tech companies around the world either directly or through its Vision Fund.
Triple whammy
Chinese ride-hailing giant Didi Global, which is 21.5% owned by Vision Fund, said on Friday that it would delist from the New York Stock Exchange and opt for listing in Hong Kong. This comes after the company faces scrutiny from Chinese regulators over data security.
The U.S. Federal Trade Commission also sued Nvidia Corp for its planned acquisition of Arm, a British chip technology provider. Arm is owned by SoftBank and the deal has already been facing other regulatory challenges.
To add to this, shares of Southeast Asia's biggest ride-hailing and delivery firm Grab fell over 20% on its Nasdaq debut on Thursday. Vision Fund is Grab's largest shareholder owning about 18.6% of the company.
SoftBank group reported a second-quarter loss last month as its Vision Fund was hit by a $10 billion loss due to decline in the share price of its portfolio companies.
Picture Credits: Reuters