Saudi Arabia’s Crown Prince Mohammed bin Salman has said that the Kingdom will invest another $45 billion in the next $100 billion that Softbank plans to launch. The prince said this speaking to Bloomberg in an exclusive interview that took place last Wednesday at a royal compound in Riyadh.
If the deal eventually materializes, it would take Saudi investment in the Softbank Vision Fund (1 & 2) to $90 billion. Saudi Arabia’s Public Investment Fund has invested $45 billion in the first Vision Fund that has been investing crazy amounts of capital in startups all around the world.Saudi to invest another $45 billion the second Softbank fund: Prince Mohammed bin SalmanClick To Tweet
Last month, Masayoshi Son, the CEO of Softbank, also speaking to Bloomberg in an interview had said that Softbank plans to create a $100 billion fund every two-three years with an aim to spend $50 billion every year.
Saudi Crown Prince is expecting big returns from their first investment, “We would not put, as PIF, another $45 billion if we didn’t see huge income in the first year with the first $45 billion.”
Here is that part of the transcript when Prince Mohammed bin Salman (aka as MbS) talks about Softbank.
BLOOMBERG: One of the places you invested in was SoftBank. Will you be a part of the other $100 billion they’re seeking?
MBS: Of course. Definitely. We are the creators of SoftBank vision fund. We have 45 percent. Without the PIF, there will be no SoftBank vision fund.
Bloomberg: How much of the new $100 billion?
MBS: Same amount mostly.
Bloomberg: Another $45 billion?
MBS: That’s right.
Bloomberg: So a total of $90 billion.
MBS: That’s right. That means we have a huge benefit from the first one. We would not put, as PIF, another $45 billion if we didn’t see huge income in the first year with the first $45 billion.
BLOOMBERG: How much?
MBS: Masa once announced the number in the last FII that we did more than 20 percent in the first five months, so you can imagine!
BLOOMBERG: You’re happy?
MBS: Of course!
Featured image via Financial Times.
Latest posts by Zubair Naeem Paracha (see all)
- Vezeeta to provide telehealth services to thousands of STC employees in Saudi - June 3, 2020
- DHL partners with Dubai fintech Tabby to offer online retailers in UAE a cash on delivery alternative - June 3, 2020
- Saudi food delivery startup Jahez raises $36 million in country’s largest VC deal - June 3, 2020