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SoftBank plans to issue euro bonds for the first time to advance its artificial intelligence strategy
Investing.com – SoftBank Corp., the publicly listed subsidiary of Japan’s SoftBank Group, has instructed banks to arrange a conference call with investors as preparation for its first euro-denominated bond issuance, Bloomberg reported on Wednesday.
The telecom and financial services company has appointed JPMorgan, BNP Paribas, Citigroup, and Mizuho Bank, and will begin holding investor meetings in Asia and Europe starting Wednesday. The potential issuance includes benchmark-sized fixed-rate senior unsecured euro bonds with maturities of 6 years and 10 years, respectively.
The planned issuance comes as SoftBank Group’s founder Masayoshi Son expands the group’s footprint in artificial intelligence. The parent company is exploring raising as much as $40 billion in the loan market, mainly for investment in OpenAI, which would become its largest U.S.-dollar-denominated borrowing.
SoftBank Corp. was listed in 2018 as SoftBank Group’s mobile business unit. Its current business activities cover financial services and AI operations. The company issued U.S. investment-grade bonds for the first time last year. The $1 billion 5-year and 10-year bond offering attracted demand more than 7 times the offering size, and was priced below the initial guidance.
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