SoftBank Sells One-Third Stake in Uber to Offset Losses from Didi Chuxing Investment

▲Masayoshi Son, Chairman of SoftBank Group [Image source=Yonhap News]

[Asia Economy Reporter Kwon Jae-hee] Japan's SoftBank, led by Chairman Masayoshi Son, plans to sell one-third of its Uber shares to recover investment losses in Didi Chuxing, CNBC reported on the 28th (local time).

CNBC cited two sources saying SoftBank plans to sell 45 million Uber shares.

SoftBank is reported to have suffered approximately $4 billion (about 4.6032 trillion KRW) in losses so far due to the decline in Didi Chuxing's stock price after its listing on the New York Stock Exchange at the end of last month.

The broadcast explained that the decline in Alibaba's corporate value, the cancellation of Ant Group's initial public offering (IPO), and the suspension of ByteDance's IPO are also affecting SoftBank.

The stock price of Chinese ride-sharing company Didi Chuxing fell 37% after its listing, amid reports that it ignored Chinese authorities' requests for restraint and pushed ahead with the listing, facing the risk of paying large fines.

SoftBank invested in Uber in 2018, and in 2019, the SoftBank Vision Fund made an additional investment of $333 million.

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