What Happened: The initial public offering's formal sponsor would be SoftBank Investment Advisors, the manager of the $100 billion Vision Fund and Vision Fund 2, according to Axios.
The intent behind the launch of the blank check company is not to take an existing SoftBank portfolio company public, as per Axios.
Misra disclosed that the Japanese group was flush with liquidity. “Our problem is to find investment opportunities,” he said, according to Barron's.
“While a good, large company that was going to go public, will go the IPO route anyway,” Misra said. “The SPAC is right for a good growth company that had plans to go public in a year or nine months and uses this window of buoyant capital markets.”
Three of Palihapitiya's SPAC companies raised $2.1 billion in three public offerings last week. Social Capital Hedosophia Holdings Corp. III (NYSE:IPOC) is expected to merge with Alphabet Inc’s (NASDAQ:GOOGL) (NASDAQ:GOOG) Google ventures-backed Clover Health in the first quarter next year.
Price Action: SoftBank OTC shares closed nearly 4.3% higher at $34.36 on Monday.
Photo courtesy: MIKI Yoshihito via Flickr