SoftBank plans $11 billion junk bond sale to fuel multi-billion dollar OpenAI bet: Report

SoftBank Group Corp. is seeking to raise the equivalent of more than $11 billion in one of the largest high-yield bond offerings on record, Bloomberg reported citing people familiar with the matter. The massive debt sale comes as billionaire Masayoshi Son’s conglomerate accelerates its aggressive investments in ChatGPT creator OpenAI.

According to the report, the company plans to issue $10 billion in dollar-denominated securities across three tenors, alongside €1 billion ($1.1 billion) in euro notes across two maturities. The proceeds will partially fund a follow-on investment in OpenAI set to close next month, the report added.

As one of the world's premier artificial intelligence investors, SoftBank's fortunes are increasingly tied to its ability to monetise its position in OpenAI, having already committed nearly $65 billion to the startup. This has placed Son’s firm at the heart of debt-fueled AI expansion amid growing industry safety concerns.

To finance its expanding stakes, SoftBank previously secured a $40 billion bridge loan in March, recently clearing the remaining $25.9 billion balance on that facility, as per the report. The firm has since engaged in a rapid series of debt market transactions to bolster its AI financing reserve.

As per the Bloomberg report, SoftBank closed out last week with nearly $21 billion in potential new borrowings. The company expanded a margin loan backed by shares in its chip unit, Arm Holdings Plc, by $5 billion to reach $25 billion. Additionally, SoftBank secured a $450 million increase on an existing credit line, bringing its total to $6.5 billion, it added.

Data compiled by Bloomberg shows SoftBank has already sold nearly $15 billion in multi-currency notes this year, making it 2026's largest junk-rated borrower in the bond markets. The firm also secured a $10 billion loan earlier this year backed directly by its OpenAI stake.

The aggressive debt drive coincides with a broader global rise in borrowing costs driven by persistent inflation. Bloomberg data reveals the yield on SoftBank's dollar bond due in 2031 climbed to 8.2% earlier this month — up from a low of 6.7% in January — reflecting wider credit spreads and rising Treasury yields.