Nvidia Keeps Running After SoftBank Acquires 4% Stake

NVIDIA Corporation NVDA, one of the hottest stocks of 2016, is up nearly 30 percent since the start of 2017. The stock was up another 3 percent Wednesday after Japan-based SoftBank reportedly picked up a $4 billion stake in the technology company.

According to Bloomberg, SoftBank disclosed it owns an unspecified stake in Nvidia as part of its $92 billion technology investment fund. It isn't known the exact size of the stake but "people familiar with the situation" peg the position at $4 billion.

The Bloomberg report added that SoftBank's stake is small enough that it won't need to be disclosed in regulatory filings. A stake of 4.9 percent is just under the threshold required for a regulatory disclosure and would be valued at around $4 billion.

SoftBank's founder Masayoshi Son is on a mission to become the biggest technology investor over the next decade. His vision naturally extends across the world, including India where he is battling against Amazon.com, Inc. AMZN's Jeff Bezos to win the rapidly growing ecommerce and technology space.

SoftBank and Son also made a commitment to create 50,000 new jobs in the U.S. and invest $50 billion. One of the first recipients of SoftBank's pledge was a $1.2 billion investment in OneWeb, satellite startup that is building a communications network with a constellation of Low Earth Orbit satellites that will provide connectivity to billions of people around the world.

See Also:

What SoftBank's $50 Billion Investment Means For Sprint, Twitter

6 Biggest Foreign Acquisitions Of American Companies In History

Image Credit: By yoggy0 from Yokohama, Japan (SIGGRAPH Asia 2009) [CC BY 2.0], via Wikimedia Commons