Softbank Vision Fund dealt another blow with boardroom exodus
After a year of hefty losses, Softbank is now dealing with an exodus of executives at its $100bn Vision Fund.
The Japanese conglomerate plunged to its worst ever annual performance in March after recording a huge $18bn loss for the Vision Fund. It bounced back in August after strong performances by its tech investments.
Softbank was forced to cut 15 per cent of jobs at its investment arm, which manages the Vision Fund, after its value plummeted following a series of misplaced bets.
Now it faces the departure of a series of top executives. The fund’s chief operating officer Ruwan Weerasekera, who is also a managing partner, has retired, according to Bloomberg.
He joins Penny Bodle, an investor relations partner, and Avi Golan, an operating partner, who have both left the fund. Golan has joined artificial intelligence software maker Anyvision as chief executive.
On Sunday, Axios reported the departure of investing partners Ted Fike and Justin Wilson from Softbank’s Vision Fund. They have resigned to join Gores Group as senior managing directors, focusing on the firm’s work on special purpose acquisitions companies (Spacs).
It comes after a series of resignations earlier this year, including Carolina Brochado who gave her notice just a month after being promoted to partner.
Softbank’s flagship fund has been rocked by stories of workplace problems and stories of the fund’s chief executive Rajeev Misra’s alleged smears of other Softbank executives.
Employees have described the company culture as one that “rewards aggression and recklessness,” Bloomberg reported last year.
This has not been helped by a series of high-profile investments that have since turned sour, including bets on Wework and Uber. Softbank’s chief executive Masayoshi Son called the bet on Wework a “foolish” move, earlier this year.
The firm is reported to have invested around $19bn in Wework, with the latter’s valuation dropping from $47bn ahead of its failed IPO last year to $2.9bn in March.