SoftBank secures OpenAI-backed margin loan from major banks

SoftBank secures OpenAI-backed margin loan from major banks

Masayoshi Son's conglomerate taps a syndicate of major banks to borrow against its private AI holdings.

SoftBank has raised another $10 billion to fund its artificial intelligence strategy, securing a margin loan backed by its OpenAI stake.

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The two-year financing, led by Goldman Sachs, JPMorgan, Mizuho Securities, Apollo Global Funding, and Sumitomo Mitsui Banking Corp., will provide capital for general corporate purposes and Vision Fund II-2. The agreement includes margin requirements that could force additional cash collateral or early repayment if OpenAI’s preferred share value declines sharply.

The latest borrowing comes after SoftBank’s $40 billion bridge loan and brings its planned investment in OpenAI to nearly $65 billion by October.

Disclosure: This article was edited by Editorial Team. For more information on how we create and review content, see our Editorial Policy.

SoftBank secures OpenAI-backed margin loan from major banks

SoftBank secures OpenAI-backed margin loan from major banks

Masayoshi Son's conglomerate taps a syndicate of major banks to borrow against its private AI holdings.

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SoftBank has raised another $10 billion to fund its artificial intelligence strategy, securing a margin loan backed by its OpenAI stake.

Advertisement

The two-year financing, led by Goldman Sachs, JPMorgan, Mizuho Securities, Apollo Global Funding, and Sumitomo Mitsui Banking Corp., will provide capital for general corporate purposes and Vision Fund II-2. The agreement includes margin requirements that could force additional cash collateral or early repayment if OpenAI’s preferred share value declines sharply.

The latest borrowing comes after SoftBank’s $40 billion bridge loan and brings its planned investment in OpenAI to nearly $65 billion by October.

Disclosure: This article was edited by Editorial Team. For more information on how we create and review content, see our Editorial Policy.