Saudi and SoftBank are recycling between them $70 billion- Here’s why
Bloomberg’s Phil Serafino discusses possible investments into Saudi Arabia from SoftBank group Corp, deepening ties. He speaks with David Westin and Jonathan Ferro on “Bloomberg Daybreak: Americas.”
Serafino said that SoftBank’s investment in Saudi’s $500bn NEOM, and its announced MOU for also an investment in Saudi state owned electricity company (SEC) is a message the private company is willing to make a long term bet on the Crown Prince, with an investment set to shape in the next 3-4 years.
SoftBank plans a $15bn investment in NEOM nd $10bn in the SEC.
“This deal has been in the works before the (corruption) crackdown and reflects that the Crown Prince is able to transform the economy and maintain stability at the same time,” he said.
SoftBank is investing $25bn in the PIF but the PIF has already committed $45bn in SoftBank’s $100bn vision fund.
“There is a lot of recycling of money back and forth, so the signaling is more important here than the dollar amounts which are not yet formally committed expect for the MOU on the SEC.”