DUBAI: More multibillion-dollar Vision Funds that will invest in high-technology startups around the world, including in Saudi Arabia, are being planned over the coming years.
Rajeev Misra, the chief executive of the business that currently oversees $130 billion of high-tech global investment, told Arab News that further funds are planned once the cash from Vision Fund 2 is fully invested. “There will be many Vision Funds over the next many decades,” he said.
Interviewed on Frankly Speaking, the series of video conversations with global decision-makers, Misra also revealed plans for the fund’s first investment in a Saudi company, its strategy to bring jobs and company start-ups to the Kingdom, and his desire to entice big Middle East investors back into the funds.
“We exist because of them. The Vision Fund is a joint effort by our two major partners — the Kingdom of Saudi Arabia and Mubadala of the UAE — and whenever they decide to join in the next one, we’ll be ecstatic,” he said.
Saudi Arabia’s Public Investment Fund was the biggest backer of the first Vision Fund, with a stake of $45 billion out of a total of roughly $100 billion, but both it and Mubadala declined to join Vision Fund 2, which launched with a $30 billion investment wallet backed by SoftBank of Japan.
Once Vision Fund 2 is fully invested — roughly $20 billion has so far been spent — Misra and his team will look to other funds. “There will be Vision Fund 3, there will be Vision Fund 4. The important thing is to create an infrastructure of 450 employees in 11 offices who can continue the work for the next 10 or 12 or 20 years,” he said.
Misra’s confidence has been boosted by the big contribution he made to the profits of SoftBank of Japan recently. Legendary investor Masayoshi Son, founder and chief executive of the financial giant, reported the biggest ever profit by a Japanese company, $46 billion, with the bulk of that coming from Vision Fund gains.
Misra acknowledged that Vision Fund has benefited from the strong financial markets of the pandemic crisis, when governments intervened with big stimulus packages and technology stocks boomed because of new working and travel patterns.