SoftBank Seeks $40B Bridge Loan to Fund $30B OpenAI Stake
SoftBank is negotiating a 12-month, $40 billion U.S. dollar bridge loan to finance a $30 billion additional investment in OpenAI, where its stake stands at about 11%. S&P Global lowered SoftBank’s credit outlook over liquidity concerns as the company sells Nvidia positions and expands AI infrastructure acquisitions.
1. Bridge Loan Negotiation
SoftBank is negotiating a 12-month, $40 billion U.S. dollar bridge loan led by four underwriters including JPMorgan Chase to primarily fund a $30 billion additional investment in OpenAI.
2. OpenAI Stake Expansion
Following over $30 billion of prior injections, SoftBank’s OpenAI stake now stands at roughly 11%, making AI one of its most concentrated holdings alongside its 90% stake in Arm Holdings.
3. Credit Outlook Downgrade
S&P Global lowered SoftBank’s credit outlook, citing that the rising exposure to OpenAI and elevated debt levels could strain liquidity and weaken the quality of assets backing its debt.
4. Portfolio Realignment
To support its AI strategy, SoftBank has liquidated portions of its Nvidia holdings and committed over $1 billion in SB Energy, $3 billion for DigitalBridge, $6.5 billion for Ampere Computing and $5.4 billion for ABB’s robotics unit.