SoftBank Group Corp. has secured a $10 billion margin loan backed by its stake in US tech company OpenAI, according to a financial report published on August 6. The loan agreement was signed on Wednesday with a consortium of lenders including Goldman Sachs Bank USA, JPMorgan Chase Bank NA, Mizuho Securities USA LLC, Apollo Global Funding LLC, and Sumitomo Mitsui Banking Corp. The two-year loan is expected to be drawn down this month.
The loan deal involves multiple financial institutions acting as mandated lead arrangers. SoftBank is the guarantor of the borrowing, which will be used for general corporate purposes for the group and its Vision Fund II-2. The agreement requires SoftBank to post cash collateral as part of the loan terms. This financing move follows SoftBank's ongoing investment strategy in artificial intelligence, particularly through its stake in OpenAI.
SoftBank's total investment in OpenAI is projected to reach nearly $65 billion by October, underscoring the company's significant commitment to AI technology. The margin loan provides SoftBank with liquidity while leveraging its OpenAI holdings, a strategy that reflects broader trends in tech investment financing. The involvement of major banks like Goldman Sachs and JPMorgan highlights the scale and confidence in SoftBank's AI portfolio.
The $10 billion margin loan agreement was disclosed in SoftBank's latest financial report on August 6, with the company planning to draw down the funds within the month. This transaction marks a key milestone in SoftBank's funding activities tied to its AI investments.