SoftBank plans record $6.3 billion retail bond sale in Japan for OpenAI investments

SoftBank Group Corporation plans a ¥1 trillion ($6.3 billion) retail bond sale in September 2026, Japan's largest ever by any issuer, with pricing on September 4, 2026. The company will use proceeds to refinance ¥400 billion of maturing retail bonds and fund its over $60 billion commitment to OpenAI. Bloomberg Intelligence notes SoftBank faces a shortfall exceeding $20 billion even after this issuance, signaling likely offshore bond sales ahead.

Record retail bond sale

• ▪SoftBank Group Corporation expects the bonds to receive an A rating from Japan Credit Rating Agency
• ▪SoftBank Group Corporation's seven-year bonds are expected to be priced on September 4, 2026, with an indicative coupon range of 4.3-4.9%
• ▪SoftBank Group Corporation's September 2026 retail bond sale will be SoftBank's third retail bond sale in 2026, following a ¥418 billion raise in April 2026 and ¥260 billion in June 2026
• ▪SoftBank Group Corporation is planning a ¥1 trillion ($6.3 billion) retail bond sale in September 2026, the biggest by any issuer in Japan

OpenAI investment funding

• ▪SoftBank Group Corporation has accelerated investments in data centres to expand computing capacity
• ▪SoftBank Group Corporation plans to use proceeds from the September 2026 bond issuance to refinance ¥400 billion of retail bonds maturing in September 2026
• ▪SoftBank Group Corporation has committed over $60 billion to OpenAI
• ▪SoftBank Group Corporation plans to use proceeds from the September 2026 bond issuance to secure funding for its investments in artificial intelligence

Retail investor reliance

• ▪Yuuki Fukumoto of NLI Research Institute stated that banks are finding it difficult to take on the risk of SoftBank's September 2026 bond sale given weak deposit growth, the credit rating and the seven-year duration, leaving the deal more reliant on retail investors
• ▪Sharon Chen of Bloomberg Intelligence stated that SoftBank's new retail bond is likely to price toward the upper end of the indicated coupon range

SoftBank financial position

• ▪S&P Global Ratings affirmed SoftBank Group Corporation's long-term issuer credit rating at BB, a notch below investment grade
• ▪SoftBank Group Corporation's shares fell 5.3% to 4,975 yen in Tokyo on August 24, 2026
• ▪S&P Global Ratings revised its outlook on SoftBank Group Corporation to stable from negative on July 16, 2026, saying key financial ratios had improved more than previously expected
• ▪Sharon Chen of Bloomberg Intelligence stated that SoftBank Group Corporation faces a shortfall exceeding $20 billion even after the September 2026 bond issue, signalling a high likelihood of offshore bond issuance in the near term

Global AI spending race

• ▪Alibaba Group Holding's August 2026 secondary share sale will help fund Alibaba's efforts to invest in chips, data centres and large-language models
• ▪Alibaba Group Holding raised the equivalent of $10 billion in Hong Kong's biggest-ever secondary share sale on August 24, 2026
• ▪Alphabet Inc., Amazon Inc., Meta Platforms and Microsoft Corporation have pledged close to $2.4 trillion in combined AI-related expenditure over the coming years

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