SoftBank investors prioritize AI returns over borrowing costs

52 minutes ago 2



SoftBank Group just borrowed $11.1 billion at yields as high as 9.75%. Its equity investors are mostly shrugging. The reason is simple. Shareholders care far more about what SoftBank’s artificial intelligence bets could be worth than about what it costs to fund them. With nearly $65 billion committed to OpenAI, the company has made its position very clear. A record bond sale with a clear purpose On September 24, 2026, SoftBank closed a high-yield corporate bond sale worth $11.1 billion. The deal combined $10 billion in dollar-denominated senior notes with €1 billion in euro notes, making it the largest transaction of its kind globally. Demand was not a problem. Orders topped $30 billion, meaning buyers asked for nearly three times what SoftBank was offering. Most of that money has a specific destination. The proceeds are aimed largely at completing SoftBank’s investment in OpenAI and refinancing existing obligations. SoftBank’s total commitment to OpenAI stands at approximately $64.6 billion. The final tranche is expected to close around October 1, 2026, and the company is anticipated to hold a 13% stake in the ChatGPT maker once everything settles. The cost of borrowing is climbin...

Read Entire Article