SoftBank Sells Entire $5.8B Stake in Nvidia (NVDA: NASDAQ)
In a significant financial move, SoftBank has divested its complete stake in Nvidia, a leading U.S. semiconductor manufacturer. The sale involved 32.1 million shares, which were unloaded in October for a total of $5.83 billion. This decision marks the end of SoftBank’s investment in Nvidia, a company it had initially supported through its Vision Fund.
Background on SoftBank’s Investment in Nvidia
SoftBank became an early investor in Nvidia in 2017. At that time, the company built a stake worth approximately $4 billion. The Vision Fund’s backing was instrumental in Nvidia’s growth during these years.
Details of the Sale
- Date of Sale: October
- Total Shares Sold: 32.1 million
- Total Amount: $5.83 billion
This sale signifies SoftBank’s total exit from Nvidia, aligning with its recent strategy of reallocating investments amid changing market dynamics.
Impact on Nvidia and Investors
The divestment could have several implications for Nvidia. As one of the early supporters, SoftBank’s exit might signal a shift in investor sentiment. However, Nvidia continues to be a dominant player in the semiconductor industry.
Investors will be keenly observing the effects this sale will have on Nvidia’s stock performance and future business prospects.
