Japan-based telecommunications and internet group SoftBank is considering transferring its $97.7bn technology investment fund, Vision Fund, into a wider financial services operation, the New York Times reported on Sunday.
The new arm, SoftBank Financial Services, would incorporate Vision Fund and Fortress Investment Group, the asset management firm SoftBank paid $3.3bn to acquire in July 2017. They would operate separately but would represent the main parts of the division.
Rajeev Misra, who heads Vision Fund as CEO of SoftBank Investment Advisers, is in the frame to lead SoftBank Financial Services.
Misra has a background in banking but was appointed senior managing director of Fortress in 2014 and SoftBank’s head of strategic finance later the same year.
The division will also look to market private equity and debt funds to Middle East investors, a class that has supplied a significant portion of Vision Fund’s capital as limited partners, under the Fortress brand name.
News of the potential switch has emerged as Vision Fund looks to strengthen its investment team. It is currently advertising 14 positions according to Recode, which reports that it is seeking experienced venture capitalists to bolster a team that is tilted more toward financial services backgrounds.
Executive recruitment firm Russell Reynolds Associates has been searching on Vision Fund’s behalf for vice-presidents and directors, multiple sources from three venture capital firms – all of whom have been approached – have told Recode.