SoftBank reported a quarterly loss of $23.4B (3.16T yen) in its Q1 earnings report, wiping off the $50B in gains made by the company at its peak. Approximately $21.68B (2.93T yen) of the loss was attributed to the firm's Vision Fund, which recorded its second-largest quarterly loss to date. More: - The losses were dispersed among its more than 300 portfolio companies, with the most significant ones being Didi Global, Klarna Bank, and Compass Inc.
- In the quarter, the firm's investments from its Vision Fund totaled $600M, down from $20.6B in the same quarter a year ago.
- The firm liquidated its stake in a few companies, which helped the firm raise $10.5B during the quarter.
- Since ending the quarter, the firm has liquidated its stake by another $6.8B.
- The value of Vision Fund 2's investment portfolio has plummeted to $37B.
- The firm is estimated to have paid $48B for the respective investments.
- CEO Masayoshi Son acknowledged that the bank's investment strategy had flaws, and it will take a conservative approach to investing from now on.
- The firm plans to let go of a singnificant number of Vision Fund employees to cut costs.
- SoftBank announced a $2.97B (400B yen) share buyback program.
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Cox Enterprises has agreed to acquire media company Axios for $525M. According to people familiar with the deal, Axios co-founders Jim VandeHei, Mike Allen, and Roy Schwartz will remain on the company’s board and continue to manage Axios’ day-to-day operations. Cox is a privately held media conglomerate headquartered in Atlanta; it led a Series D investment in Axios last year. More: - Axios launched in 2017, covering business and political news.
- It also offered local coverage of cities including Austin, Boston, and Seattle.
- VandeHei said Axios sought two things in a potential buyer: someone authentically committed for the long term to serious media and someone who was OK with Axios’ founders being in control.
- Axios only spoke with Cox about a sale.
- This is the second time VandeHei has founded a media company that sold for more than $500M.
- He co-founded Politico, which sold for $1B to Axel Springer last year.
- Axios HQ, the company’s software unit, will become a separate entity led by Axios president Roy Schwartz.
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Berkshire Hathaway released its Q2 earnings over the weekend, reporting a 39% increase in operating profits to $9.3B. The conglomerate recorded a $53B loss on its investments during the quarter. Warren Buffett asked investors not to focus on the quarterly fluctuations in its equity investments. More: - The company spent about $1B in share buybacks in the quarter.
- Berkshire Hathaway ended the quarter in June with over $105M in cash and cash equivalents.
- Berkshire Hathaway increased its stake in Occidental Petroleum in the quarter to 19.4%, worth about $10.9B.
- Occidental has been the best-performing stock in the S&P 500 this year.
- Berkshire Hathaway’s Class A stock declined ~22% in Q2.
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Australian copper mining company Oz Minerals Ltd. rejected a takeover offer from BHP Group Ltd. BHP offered $17.45 (AU$25) per share, bringing the deal’s total value to $5.8B (AU$8.4B). Oz Minerals said the offer significantly undervalued its business. More: - Oz Minerals’ share price had reached $21 (AU$30) per share at the start of this year.
- Friday’s closing price was $13.20 (AU$18.92) per share.
- BHP was keen on acquiring Oz as it expects the demand for copper to double over the next three decades, citing its relevance in construction and electronics industries.
- The Australian company has three copper and gold mining facilities, two of which are located in South Australia, while one is in Brazil.
- In addition, the company owns nickel mines and last year entered into a supply agreement with Tesla.
- The bulk of BHP’s revenue comes from its iron ore mining operations, and the firm has been looking to diversify into mining other minerals.
- The company tried to acquire Canadian nickel producer Noront Resources last year but got outbid by Wyloo Metals.
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 A message from CAPGEMINI ENGINEERING The Metaverse: A Digital Frontier. In this webinar, Capgemini Engineering and NVIDIA will discuss their partnership to build immersive experiences in the metaverse. We’ll go over an overview: - What is the metaverse? How is it built?
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The Senate passed a sweeping climate and economic package on Sunday by a 51-50 vote. All Democrats voted yes for the bill, and all Republicans voted no; Vice President Kamala Harris cast the tie-breaking vote. The bill, called the Inflation Reduction Act, has more than $300B aimed at tackling climate change and investing in clean energy, among other things. More: - The bill will head to the House, which is expected to meet Friday to pass the legislation and send it to President Biden’s desk to sign into law.
- The bill also includes a cap on the price of insulin for seniors on Medicare; however, Republicans successfully removed a $35 cap on insulin in the private market.
- It also empowers Medicare for the first time to be able to negotiate prices with drug companies.
- The bill includes a new 15% minimum tax on large corporations and a 1% tax on share buybacks.
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Federal Aviation Administration officials announced Monday that Boeing will resume deliveries of 787 Dreamliner aircraft. The FAA issued the airworthiness certificate and cleared the aircraft for delivery, according to the statement. Boeing had to halt deliveries of the wide-body aircraft from late 2020 after problems with the fuselage section joints surfaced. More: - Aircraft already in service were allowed to operate as the issues were not considered safety hazards.
- Last week, FAA acting administrator Billy Nolen visited the Boeing South Carolina plant to meet with safety inspectors.
- 120 787s have already been assembled by Boeing and are available for delivery to airlines.
- The FAA re-certification will allow Boeing to free up almost $10B tied in capital.
- It is believed that American Airlines will be one of the first to receive deliveries.
- The aircraft manufacturer’s shares jumped 3.7% following the announcement.
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- Ride-hailing company Lyft launched a new media business arm called Lyft Media. The new unit will house and help boost the company’s growing advertising offerings.
- Private equity firm Carlyle Group announced late Sunday that CEO Kewsong Lee is stepping down from the role effective immediately. The firm added that Lee would leave the company when his five-year employment agreement expires at the end of this year.
- Top Gun: Maverick became the seventh-highest-grossing film of all time in the U.S. last week, passing both Jurassic World and Titanic. The film, which is a sequel to the 1986 original, has generated $662.5M in sales in the U.S. since its May 27 release.
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 |  | Vanessa Omeokachie is a Researcher at Inside. Her interests include finance, tech, and startups. In her free time, she enjoys reading, hiking, attending music festivals, and traveling. Connect with her on Twitter @VanessaOmeo or through email at vanessa@inside.com Karan Chafekar is a Management Consultant, Business enthusiast, and Licensed Pilot. |  | | Editor | Aaron Crutchfield is based in the high desert of California. Over the last two decades, he has spent time writing and editing at various local newspapers and defense contractors in California. When he's not working, he can often be found looking at the latest memes with his kids or working on his 1962 Ford. | |
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