Saudi Arabia is investing $45 billion with Softbank

Saudi
Arabia’s Crown Prince Mohammed bin Salman Al
Saud.
REUTERS/Amir
Levy

• Saudi Arabia’s sovereign fund the Public Investment
  Fund (PIF) is making a second $45 billion investment in
  SoftBank’s Second Vision Fund,
  Bloomberg reports.
• Crown Prince Mohammed bin Salman said in
  an interview that the PIF wants to be a key player in
  SoftBank’s next fundraise, because it has seen “huge benefit”
  from the first one.
• Bin Salman set up the first $100 billion SoftBank
  Vision Fund with CEO Masayoshi Son.

Saudi Arabia is investing another $45 billion in SoftBank’s
second Vision Fund,
Bloomberg reports.

Mohammed bin Salman, chairman of the Public Investment Fund (PIF)
and Crown Prince of Saudi Arabia told Bloomberg that the fund
wants to be a key investor in the next $100 billion fund that
Softbank CEO Masayoshi Son plans to raise — bringing the PIF’s
investment in the two funds to a total of $90 billion.

Bin Salman told Bloomberg that the PIF’s first investment had
paid off. “We have a huge benefit from the first one,” he said.
“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.”

The Crown Prince told Bloomberg that the PIF’s assets have risen
to just under $400 billion. “Our target in 2020 is around $600
billion. I believe we will surpass that target in 2020,” he said.

Son and Bin Salman were the powerhouses behind
setting up the first SoftBank Vision Fund in 2016. At the
time, Son said he wanted it to become “the biggest investor in
the technology sector.” He also said in September of this year
that
he plans to spend around $50 billion a year on startup
investment. 

Softbank founder and CEO
Masayoshi Son.
Koki Nagahama/Getty
Images

The PIF also has a history of investing heavily in tech
companies, including the likes of
Uber,
Tesla, and
Magic Leap.