SAN FRANCISCO: Fair Financial Corp, a startup car-leasing company backed by SoftBank Group Corp’s Vision Fund, is selling a chunk of its assets to San Francisco-based Shift Technologies Inc. The outcome is a money-losing one for SoftBank.

       Shift will pay US$15mil (RM63mil) in cash and enter into an equity transaction worth about US$4.2mil (RM17.64mil) at yesterday’s stock price to purchase Fair’s dealer-listing technology.

       The stock component is 2.5% of Shift’s outstanding shares at the time of closing, expected in the second quarter of 2022, the company said in a letter to shareholders Tuesday.

       The transaction will be fully funded by a US$20mil (RM84mil) senior unsecured debt facility with a 6% coupon from SoftBank Group, Shift said in the letter. — Bloomberg