A year ago, Softbank Group Corp. was criticized for investing in unprofitable start-ups. However, the Japanese conglomerate may have a notable winner to show off: DoorDash Inc.
The San Francisco-based food-delivery company is gearing up to go public in coming weeks at a valuation as high as $32 billion, it said in securities filings Monday.Softbank is currently the largest shareholder of doordash and invested in doordash for the first time in early 2018 with a shareholding ratio of 24.9%.
If the IPO is as successful as doordash hopes, it would be a huge win for SoftBank and and its vision fund, which focuses on investing in technology. The fund blanketed the delivery company with cash two years ago—a strategy that proved unwise with many other of its investments but helped fuel a successful growth strategy for DoorDash. At the midpoint of DoorDash’s expected share price range, Softbank's $680 million investment will be worth $5 billion by then. source