SoftBank to file first SPAC to raise up to $600m, report says

It would be the Japanese conglomerate’s first SPAC – a blank-check shell corporation designed to take companies public without going through the traditional IPO process. The giant is also preparing at least two additional SPACs.

The SPAC will be used to buy a firm that SoftBank hasn’t invested in before. SoftBank Investment Advisers, which manages the US$100 million Vision Fund and Vision Fund 2, will be the SPAC sponsor.

In October, SoftBank director and Vision Fund head Rajeev Misra said in an interview that the Japanese firm was planning to set up a blank-check company to capitalize on the investor frenzy surrounding the unusual fundraising vehicle.

SoftBank recorded an operating loss of around US$13 billion in full-year 2019, which was pulled down by a US$17.7 billion loss on valuation from investments held by Vision Fund.