SoftBank raises US$11.1bil in record high-yield bond sale
The funding follows a 1 trillion yen (US$6.3 billion) retail bond issue this month and could raise further scrutiny of SoftBank’s finances if sentiment towards OpenAI and the AI sector weakens sharply.
TOKYO: SoftBank Group has issued bonds worth US$11.1 billion in the largest high-yield corporate bond sale globally on record, aimed at funding its investments in OpenAI and other firms. The sale, which surpassed the previous record set by French telecoms firm Numericable Group, comes as SoftBank seeks to bolster its position in the rapidly growing artificial intelligence sector.
Led by founder Masayoshi Son, SoftBank has committed US$64.6 billion to OpenAI, of which it is expected to own about 13% by next week. The company is also acquiring robotics firm ABB and data center development subsidiary SB Energy. Investors have shown strong appetite for SoftBank's high-yield debt, but concerns about the company's financial health persist as its exposure to the AI sector and OpenAI's uncertain IPO plans raise questions about future cash flows.
Written by urgent.news from Free Malaysia Today's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
Also reported by 4 other outlets
- SoftBank raises US$11.1bil in record high-yield bond sale freemalaysiatoday.com
- SoftBank raises $14.2 billion in world’s biggest high-yield corporate bond sale straitstimes.com
- SoftBank raising US$11.1 billion in world’s biggest high-yield corporate bond sale businesstimes.com.sg
- SoftBank raising US$11.1bil in world's biggest high-yield corporate bond sale nst.com.my
