SoftBank Group Corp. said it will form a new fund to invest as much as $100 billion (about ¥10 trillion) in the global technology industry in the next five years, partnering with Saudi Arabia's public investment fund to find tech companies that will become influential in the future.
The Saudi government will consider putting money in the tentatively named SoftBank Vision Fund and becoming the lead investment partner, with a potential investment size of as much as $45 billion over the next five years, SoftBank said in a statement Friday. SoftBank, which will invest as much as $25 billion, said it signed a nonbinding memorandum of understanding with the Saudis. Other large global investors may participate, the company said, with the total possible size of the fund reaching up to $100 billion.
SoftBank has profited to the tune of tens of billions of dollars in returns from investments in companies including Alibaba Group Holding Ltd., Yahoo and Supercell Oy, and the Vision fund will likely pursue a similar strategy of backing technology companies at all stages.