1 day ago
SoftBank Plans $11 Billion Bond Sale for OpenAI Investment
SoftBank wants to borrow more than $11 billion by selling bonds.
Some of that money would be used to invest more in OpenAI, the company behind ChatGPT.
The planned borrowing would use both dollars and euros.
SoftBank is checking whether investors would buy the bonds and at what interest rates.
The final terms are not decided yet.
SoftBank has already borrowed large amounts to support its AI investments.
It also increased loans backed by ARM Holdings shares and other assets.
The plan shows how closely SoftBank’s finances are now connected to the future of artificial intelligence.
SoftBank Group is considering more than $11 billion in bonds to help fund a follow-on investment in OpenAI.
The proposed borrowing includes $10 billion in dollar-denominated bonds and €1 billion in euro debt.
The planned bonds would have five maturities, with three in dollars and two in euros.
SoftBank and its banks are testing investor demand, but pricing and terms could still change.
The financing follows several major loans and credit increases tied to SoftBank’s AI investments and assets.
- Who
- SoftBank Group, led by Masayoshi Son, is planning the financing for an investment in OpenAI.
- What
- The company is considering a bond sale exceeding $11 billion, including $10 billion in dollar bonds and €1 billion in euro debt.
- Where
- The financing would be raised through dollar- and euro-denominated bond markets.
- When
- The proposed OpenAI follow-on investment is expected to close next month; the bond deal could be priced on Thursday, although timing and terms remain uncertain.
- Why
- Part of the proceeds would fund SoftBank’s follow-on investment in OpenAI.
Key facts
- Planned bond sale
- More than $11 billion
- Dollar bonds
- $10 billion across three maturities
- Euro debt
- €1 billion across two maturities
- SoftBank’s OpenAI commitment
- Nearly $65 billion, according to Bloomberg
- Recent bridge loan
- $40 billion arranged in March to support another OpenAI investment
- 2026 note issuance
- Almost $15 billion already sold
- Investor review
- SoftBank and its banks are assessing demand and possible pricing
Sources
Related news
SoftBank Considers $20 Billion Bond Sale for OpenAI Investment
SoftBank Plans Record Retail Bond Sale for OpenAI Funding
SoftBank Shares Plunge as AI Safety Warnings Rattle Investors
SoftBank Shares Plunge as OpenAI AI Slowdown Fears Grow
OpenAI Discusses $1.2 Trillion Funding Round Ahead of IPO
Hugging Face Explores Potential Sale Valuing Company At $13 Billion
IIM Kashipur Conclave Explores AI, Skills and BFSI Transformation
Investors Urge Warsh to Prioritize Inflation in Jackson Hole Speech
Nvidia Earnings Put AI Valuations and Stock Volatility in Focus
Broadcom Pursues Up to $100 Billion AI Debt Financing
