SoftBank Group Corp. reported an $8.5 billion gain from its investment in Intel, significantly contributing to its latest quarterly profit, which surpassed analyst expectations. This comes after SoftBank had invested $2 billion in Intel stock at $23 per share last year, acquiring new shares issued by the US chipmaker bloomberg.com.
The Vision Fund, SoftBank's investment arm, also posted a $4.8 billion gain in the fiscal first quarter, marking its largest increase since the June quarter of 2021. This was partly fueled by a valuation boost from its investment in OpenAI, where SoftBank is leading a $40 billion funding round, with an initial $10 billion already invested by SoftBank and other investors cnbc.com, bloomberg.com.
Despite these gains, SoftBank's majority-owned chip designer Arm contributed an 8.66 billion yen loss due to increased research and development expenses outstripping revenue growth. The company also sold 13 million shares of T-Mobile for $3 billion, incurring an investment loss from this sale and from Alibaba shares, which was partially offset by a gain from Nvidia shares cnbc.com.
