In the quarter ending September 2026, SoftBank’s Vision Fund 2 experienced divergent results from its Indian investments, with Lenskart and Meesho delivering significant valuation upticks, contrasted by a valuation loss on Ola Electric, one of the country’s prominent EV makers.
- Ola Electric valuation down by 10.2%, losing $42 million in Q2 FY26
- Lenskart and Meesho add $394 million in combined valuation gains
- SoftBank reports a net loss of nearly $7 billion in the quarter overall
What happened
SoftBank’s Vision Fund 2 (SVF2) posted a $42 million valuation loss on its investment in Ola Electric during Q2 FY26, with the investment’s gross returns declining from $412 million in Q1 to $370 million. This valuation falls short of the $556 million the fund has invested so far in the electric vehicle maker.
In contrast, other Indian startups in SVF2’s portfolio—Lenskart and Meesho—delivered strong valuation uplifts, contributing an aggregate $394 million in gains. Lenskart alone generated $273 million in gains, raising its total gross return to $1.3 billion, a 27% sequential increase. Meesho likewise boosted SoftBank’s gross return by $121 million in the same period.
Why it matters
These performance disparities highlight the varied maturity and market reception of India’s tech sectors within SoftBank’s portfolio. While consumer goods and ecommerce ventures like Lenskart and Meesho continue to gain valuation, the EV sector represented by Ola Electric faces correction pressures amid broader market and operational challenges.
Moreover, SoftBank overall posted a net loss of approximately $7 billion for Q2 FY26, its first loss in nearly two years, impacted by rising infrastructure costs and increased financing expenses. This underscores the complex financial environment global investors face even as they back India’s high-growth startups.
What to watch next
Investor focus will remain on how Ola Electric navigates its valuation challenges and operational scaling amid the expanding Indian EV market. Any recovery or further decline in the valuation will significantly affect SoftBank’s future fund allocations and confidence in mobility startups.
Simultaneously, tracking sustained growth in Lenskart, Meesho, and foodtech player Swiggy will be crucial, as these firms are key contributors to SVF2’s portfolio value. SoftBank’s ongoing investment and strategic decisions across these sectors will provide indicators of confidence in India’s evolving digital economy.