SoftBank Group has filed to launch a special purpose acquisition company (SPAC), saying it plans to raise $525 million U.S. for an investment in a technology company.
The Japanese investment giant is the latest big name to jump on the wave of so-called "blank-cheque companies," which involve an investment vehicle entering the public markets and then using the money raised to merge with a private company and bring it public.
SPACs have seen a surge of interest in 2020 and involvement from high-profile investors, including hedge fund manager Bill Ackman. The deals have raised more than $60 billion this year, according to Renaissance Capital.
Softbank has been one of the biggest investors in private technology and tech-adjacent companies, with mixed success. The company’s prior investments include Uber (NASDAQ:UBER), ByteDance and WeWork.
Softbank has also been a controversial player in the public markets this year, with reports that the investment firm was the NASDAQ whale buying large amounts of options on technology stocks in the spring and summer – a move that roiled markets around the world.
