Softbank Group shares slide 3% after Didi, Arm, Grab triple setback


HONG KONG, Dec 3 (Reuters) – Shares in Japanese conglomerate SoftBank Group Corp (9984.T) dropped over 3% on Friday after the large tech investor was hit with three disappointments inside 24 hours, together with a poor Nasdaq debut for ride-hailing agency Grab (GRAB.O).

SoftBank, both in its personal proper or by its Vision Fund, has made a string of large investments world wide, usually in giant know-how corporations.

Its shares fell to as little as 5,423 yen ($47.89) on Friday, earlier than settling barely larger however with losses of 23% over three weeks.

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Chinese ride-hailing big Didi Global (DIDI.N), which is 21.5% owned by the Vision Fund, mentioned earlier Friday it will delist from the New York Stock Exchange and pursue an inventory in Hong Kong, after coming underneath stress from Chinese regulators over information safety. learn extra

A couple of hours earlier, the U.S. Federal Trade Commission sued to dam U.S. chip firm Nvidia Corp’s (NVDA.O) greater than $80 billion deliberate acquisition of British chip know-how supplier Arm, which is owned by SoftBank, including to already important world regulatory challenges of the deal. learn extra

A couple of hours earlier than that, shares of Grab (GRAB.O), Southeast Asia’s greatest ride-hailing and supply agency, slid greater than 20% of their Nasdaq debut on Thursday following the corporate’s document $40 billion merger with a blank-check firm. learn extra

The Vision Fund is Grab’s largest shareholder proudly owning about 18.6% of the corporate.

“As lengthy as such information is there, we must wait and maintain off shopping for SoftBank Group,” mentioned Shigetoshi Kamada, normal supervisor on the analysis division at Tachibana Securities. “Every time we see detrimental components on SoftBank, we’ve got to promote its shares.”

The group reported a second-quarter loss final month as its Vision Fund unit took a $10 billion hit from a decline within the share worth of its portfolio corporations learn extra .

“We haven’t got a remark,” a SoftBank Group spokesperson mentioned when requested concerning the FTC’s opposition to Nvidia’s buy of Arm.

He additionally declined to touch upon Didi’s plans to delist from the New York inventory trade and Grab’s share debut, saying they had been investments made by the Vision Fund and never by SoftBank straight.

Register now for FREE limitless entry to reuters.comRegisterReporting by Tim Kelly and Junko Fuijita in Tokyo; extra reporting by Anshuman Daga in Singapore; writing by Alun John;
Editing by Vidya Ranganathan and Stephen Coates

Our Standards: The Thomson Reuters Trust Principles.


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