Following investments in Uber back in 2018 and 2019, Japanese multinational conglomerate SoftBank has been working to gradually sell its stake in the company, having sold around a third of it just last year as reported by CNBC. Now, it’s been revealed that SoftBank is selling the rest of its Uber stake following reports from SoftBank’s Vision Funds of a reported 2.93 trillion Japanese yen ($21.68 billion) loss, one of the highest on record, for the June quarter.
Given the staggering loss seen by SoftBank’s Vision Fund, it makes sense that the company would look for ways to raise money and selling its Uber stake is certainly one way to do so. According to SoftBank and reports from CNBC, the company sold its Uber holdings between April and July at an average price of $41.47 per share. With the average cost per share being $34.50, this means Softbank sold its stake at a profit.
That being said, SoftBank has yet to disclose the exact amount from selling its remaining Uber stock. Following the move, Uber shares dipped, but only slightly. Meanwhile, other areas of interest in regards to SoftBank selling its Uber stake include how the company was once the biggest shareholder in Uber.
As noted by CNBC, SoftBank’s Vision Fund investment business, “has been bleeding money in the first half of the year as technology stocks have fallen sharply because rampant inflation has led central banks globally to raise interest rates.” With this, SoftBank CEO Masayoshi Son had vowed earlier in the year to put the company in “defense mode” with one aspect of that strategy including selling some of the company’s holdings.
Moving forward, it’ll be interesting to see whether SoftBank will sell some of its stake in its other holdings such as DoorDash. For more on what else SoftBank has been up to, be sure to read through some of our previous coverage including how ARM London IPO was reportedly put on hold by SoftBank.