Ola Electric, Swiggy Hurt SoftBank’s Vision Fund II In Q4

Buoyed by gains from SoftBank Vision Fund I (SVF I), the Japanese tech investor reported a profit of $3.5 Bn in the quarter ended March 2025. However, this healthy performance was overshadowed by the lacklustre show of SVF II due to its listed India portfolio. 

In its filings, the investor said that the fair value of SVF II’s public portfolio companies dwindled 21.7% sequentially during the quarter under review due to fall in share prices of foodtech major Swiggy and EV maker Ola Electric.

“The fair value of investments held at the fourth quarter-end decreased by 21.7% from the previous quarter-end. Down 21.7% QoQ (quarter-on-quarter) for public portfolio companies, mainly due to share price declines in Swiggy and Ola Electric Mobility,” said SoftBank. 

For context, shares of Swiggy fell more than 39% between January and March 2025, while those of Ola Electric declined over 38% during the quarter. 

Meanwhile, SVF II’s overall loss on investments, including listed and unlisted companies, in Q4 stood at $700 Mn, as per SoftBank’s financial statements. 

Swiggy & FirstCry Deliver For SoftBank

Notwithstanding the QoQ decline in the fair value of SVF II’s listed portfolio, SoftBank is sitting on gains worth $218 Mn on its investment in Swiggy. The foodtech major fetched a gross return of $668 Mn for the fund at the end of March 2025 against a total investment cost of $450 Mn. Effectively, Swiggy closed the fiscal year with a gross multiple on invested capital (MOIC) of 1.5X on SVF II’s books. 

However, Ola Electric weighed heavily on SVF II. The EV maker accounted for a gross loss of $46 Mn for the fund, fetching a mere $510 Mn as of March 2025 against a total investment of $556 Mn. This translated into a gross MOIC of 0.9X. 

On the other hand, SVF I’s India portfolio continued to be a star performer. Kids-focussed omnichannel retailer FirstCry contributed gains worth $291 Mn to SVF I’s corpus at the end of the quarter. The value of the Japanese investor’s investment stood at $559 Mn against an investment of $268 Mn, translating to a gross MOIC of 2.1X.

On similar lines, logistics giant Delhivery accounted for gains worth $157 Mn to SVF I’s portfolio. Against an investment of $397 Mn, SoftBank notched returns to the tune of $555 Mn from the company as of March 2025, translating into a gross MOIC of 1.4X. 

Overall, for the full fiscal year, SoftBank posted a net profit of nearly $7.4 Bn as against a loss of $1.5 Bn in FY23. This was its first annual profit in 4 years.

Notably, the past calendar year saw SoftBank notch healthy returns from a slew of IPOs of its India portfolio companies. It minted an average of 8X returns (nearly $6 Bn to $6.8 Bn) by offloading parts of its stakes in three IPOs – Unicommerce, FirstCry, and Ola Electric.

This momentum is expected to continue as its portfolio companies like OYO, Lenskart and OfBusiness are said to be mulling a listing soon. 

SoftBank has reportedly funded nearly a fifth of India’s 100+ unicorns and is said to have invested more than $10 Bn in India to date.