SoftBank's OpenAI Ambition
SoftBank Group, a prominent investor, is once again offering high-yielding dollar bonds, with founder Masayoshi Son's latest $2 billion offerings coming at a cost.
- The company held more than twice as many bonds as bank loans as of the end of June.
- The new hybrids allow the company to defer coupon payments and are subordinate to senior debt, requiring extra yields to entice investors.
- The initial price guidance ranges between 8.5% and 8.625% for an issue due in 2065, with the first reset date in 2035.
In comparison, the straight 2035 bond is trading at only 6.8%.
SoftBank is racing to secure its equity investment in OpenAI, having led a funding round in April that valued the company at $300 billion, with a promise to invest $30 billion by year-end, of which only $7.5 billion has been invested so far.
Quality journalism is more crucial than ever in a time of misinformation and too much information.
Author's summary: SoftBank's investment ambitions are costly.
More News
- DAP eyes more seats in next state polls to boost check and balance in DUN | Borneo Post Online
- Colonists attack farmers in two villages east of Ramallah
- Dodgers tie World Series behind throwback excellence from Yoshinobu Yamamoto
- How to watch NFL RedZone online without cable for Week 8 (10/26/25) | Free trials, live stream, cost
- ASEAN leads response to the threat of global economic disorder
- Advisors Are Piling Into the RIA Channel. That May Not Be a Good Thing
- Joseph Parker vs Fabio Wardley - Results & Post-Fight Report
- Chhath Puja: When will Lord Surya appear in your city? Know sunrise and sunset times for all districts