SoftBank CEO Rajiv Mishra steps down from Vision Fund position

Rajiv Mishra is stepping down as CEO of SoftBank Global Advisors, which manages Vision Fund 2, as pressure on SoftBank’s investment strategy is mounting amid a string of bad bets and a crash in tech stocks this year.

Patrick T. Fallon | Bloomberg | Getty Images

Rajiv Mishra running SoftBank a major technology investment arm will step down from one of its roles, the Japanese conglomerate CNBC confirmed on Thursday.

Misra will set up an external multi-asset investment fund.

He will remain CEO of SoftBank Investment Advisors, the entity responsible for the $100 billion Vision Fund that has made big bets on companies like Uber and Chinese giant DiDi. The Vision Foundation was founded in 2017.

Misra will also remain the executive vice president of SoftBank Group, the parent company.

However, the chief executive will step down as CEO of SoftBank Global Advisors, which manages a second Vision Fund called Vision Fund 2. Instead, he will become vice chairman in a reduced position. Vision Fund 2 was founded in 2019.

But SoftBank’s investment strategy has come under heavy criticism and pressure amid a string of bad bets and a crash in tech stocks this year.

One of the most notorious issues came with co-working company WeWork, which failed to be made public in 2019 after concerns were raised about its business model and corporate governance. WeWork eventually went public last year through a specialized acquisition company.

The Vision Foundation published record loss of 3.5 trillion yen ($25.7 billion) for the fiscal year ended March 31 as technology stocks continued to fall.

Japanese giant’s outspoken founder Masayoshi Son will take on a more direct leadership role in Vision Fund 2, backed by an existing executive team.

Financial Times reported on Thursday that the new Misra fund will be worth about $6 billion and will be backed by Abu Dhabi’s state investment funds Mubadala and ADQ, as well as the Royal Group.