Real estate tech startup Compass clinches $450 million from SoftBank

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Compass continues to raise capital — this time from SoftBank Group.

Less than a month after the New York-based real estate technology startup received $100 million in series E funding from Fidelity Investments, Tokyo-based SoftBank infused the company with $450 million, plus another $50 million in secondary deals.

Compass continues to raise capital — this time from SoftBank Group.

Less than a month after the New York-based real estate technology startup received $100 million in series E funding from Fidelity Investments, Tokyo-based SoftBank infused the company with $450 million, plus another $50 million in secondary deals.

The deal gives Compass a $2.2 billion valuation, with $775 million raised to date.

The cash is coming from the SoftBank Vision Fund, a $100 billion coffer that includes $28 billion worth of SoftBank's own money, plus sovereign funds from Saudi Arabia and the United Arab Emirates alongside other tech giants including Apple, FoxConn, Qualcom and Sharp.

This is just the latest outsized New York investment made by SoftBank founder Masayoshi Son, the 59-year-old business man with a net worth hovering $22.2 billion.

In August, Son's Vision Fund led a $1.1 billion investment into Roivant Sciences, a Midtown Manhattan developer of drugs that target large unmet medical needs, as well as a $4.4 billion round for WeWork, the co-working space giant.

According to Son, there are plenty more investments on the way.

"The Vision Fund was just the first step," told Japanese newspaper Nikkei in October. "We will briskly expand the scale. Vision Funds 2, 3 and 4 will be established every two to three years."

Compass, which launched in 2012, was previously called Urban Compass.

Ori Allon, the co-founder and chairman of Compass, told TechCrunch that the company plans to grow its current footprint of 11 cities to "every major city worldwide."

“Real estate is a huge asset class, but the sector has been relatively untouched by technology and remains inefficient and fragmented,” said Justin Wilson, a senior investment professional at SoftBank’s Vision Fund, in a prepared statement. “Compass is building a differentiated, end-to-end tech platform that aggregates across diverse data streams to support agents and homebuyers through the entire process, well beyond the initial home search. With disruptive technology and unique data advantages, Compass is well-positioned for future growth in a sector that represents trillions in transaction volume.”

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Compass is a licensed real estate broker (01991628) in the State of California and abides by Equal Housing Opportunity laws. All material presented herein is intended for informational purposes only. Information is compiled from sources deemed reliable but is subject to errors, omissions, changes in price, condition, sale, or withdraw without notice. No statement is made as to accuracy of any description. All measurements and square footages are approximate. Exact dimensions can be obtained by retaining the services of an architect or engineer. This is not intended to solicit property already listed.