SoftBank issues $10 billion of notes to fund OpenAI investment

SoftBank Group Corp announced the issuance of senior unsecured notes totaling $10 billion in U.S. dollars and €1 billion in euros to fund its latest investment in OpenAI. The dollar notes are divided into three maturities—3½-year, 5½-year and 7½-year—while the euro notes come in 4-year and 6-year terms. The capital raised will be used to pay for the third tranche of SoftBank’s $10 billion follow-on investment in the AI firm, expected to close on October 1, and for broader corporate purposes.

These bonds will replace a $10 billion bridge loan previously arranged for the same purpose. The offering is slated to price on September 24 and settle on September 29, with Citigroup and JPMorgan serving as lead bookrunners. SoftBank could not comment immediately due to a holiday in Japan.