SoftBank Group has secured a two-year loan of $11.87 billion to fund its investment in OpenAI. That exceeds the roughly $10 billion it first sought. Around 20 banks committed to the facility, which was sealed last week. SoftBank declined to comment. The borrowing adds to a margin loan backed by its OpenAI stake and a possible bond sale. SoftBank said last week it would repay the $25.9 billion still owed on an earlier $40 billion loan on Sept. 15. It is meeting investors in New York to test appetite for a high-yield dollar bond of $10 billion to $20 billion. Masayoshi Son's group is due to invest close to $65 billion in OpenAI by October. SoftBank shares fell as much as 13% on Monday. Sam Altman told Fortune OpenAI will not list this year while it works on safety concerns.
What changed
SoftBank had targeted a $10 billion facility for the same purpose.
- $11.87 billion two-year loan
- earlier target $10 billion
- about 20 banks committed
- $25.9 billion repayment due Sept. 15
Sources