SoftBank Vision Fund LP is planning to borrow US$4 billion against its holdings in ride-hailing startup Uber Technologies Inc. and two other companies, London's Financial Times reported, citing people directly involved in the deal.
The investment arm of Japanese conglomerate SoftBank Group Corp. is reportedly in talks with banks such as Goldman Sachs Group Inc. to secure a loan arranged against its stakes in Uber, soon-to-be floated enterprise messaging provider Slack Technologies Inc. and blood-testing company Guardant Health Inc. The fund will have to pay more if the value of the stakes should fall beyond a certain threshold.
The loan's proceeds will allow SoftBank to return cash to investors in its Vision Fund, the people told the newspaper.
SoftBank's Vision Fund retains a 13% stake in Uber after selling a small portion of its position in the latter's IPO. The fund also owns 30% of Guardant Health and a holding in Slack recently valued at about US$950 million, according to the newspaper.
In 2018, SoftBank used its stake in Chinese e-commerce giant Alibaba Group Holding Ltd. as collateral for a loan worth US$8 billion.