SoftBank is selling its stake back to Wag after investing in the struggling dog-walking start-up more than 2 years ago

SoftBank is selling its stake back to Wag after investing in the struggling dog-walking start-up more than 2 years ago
SoftBank is selling its stake back to Wag after investing in the struggling dog-walking start-up more than 2 years ago

Softbank, a multinational conglomerate company, is backing out of its investment in struggling dog-walking start-up Wag. The audience familiar with the matter said that the Japanese conglomerate is selling its stake in Wag Back to the Company. And the news was first reported by the Wall Street Journal. Wag- CEO of Garrett Smallwood said, we are amicable parting ways with Softbank and it will no longer have Board representation. All thanks goes to the vision fund for their support in the company to date. Although the price of the deal is unclear according to the journal, it would be below the $ 650million valuation Wag earned when SoftBank first invented nearly 2 years ago. Wag, which pairs dog owners with available walkers in their neighborhood, landed its first investment from Softbank’s Vision Fund in January last year. Since then, the $ 100 Vision Fund of SoftBank has come under scrutiny for plowing money into unprofitable start-ups, like Uber and WeWork. WeWork’s spectacular fall and rise have shaped SoftBank’s decision to curb its high-risk investment strategy for Vision Fund 2.

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