SoftBank markets $11 billion in notes to fund OpenAI

SoftBank Group is marketing about $11 billion of senior unsecured notes — $10 billion in dollars and €1 billion in euros — to help fund its next OpenAI check, according to a term sheet reported by Reuters and CNA on Sep 21. SoftBank said it had no comment on the term sheet. There was no SoftBank IR bond-launch release found before publication.

What the term sheet says (hedged): Dollar notes in 3.5- / 5.5- / 7.5-year tenors and euro notes in 4- / 6-year tenors; proceeds for SoftBank’s $10 billion OpenAI third-tranche payment expected to close Oct 1 and for general corporate purposes; the bonds would cancel a $10 billion bridge facility tied to that investment; price eyed Sep 24, settle Sep 29; Citigroup leads the dollar book and JPMorgan the euro book; Fitch assigned the proposed notes BB+, those wraps say.

What SoftBank IR already locks: On Feb 27, SoftBank committed $30 billion of follow-on OpenAI investment via Vision Fund 2 in three $10 billion tranches, with the third planned for Oct 1, 2026. It put a $40 billion bridge in place Mar 27, closed the second $10 billion tranche Jul 1, and on Sep 9 said it would prepay $25.9 billion of outstanding bridge balance on Sep 15. That is the company primary for the OpenAI cash calendar — not the bond term sheet.

Why it matters for markets: SoftBank is refinancing AI equity checks with long-dated high-yield paper ahead of the Oct 1 OpenAI close. That is capital-structure plumbing for the largest private AI stakes — leverage and tranche timing, not a tip on 9984.T or OpenAI.

Stake: SoftBank creditors and equity holders; OpenAI’s remaining SoftBank capital; competing AI IPO calendars; Asia HY and IG credit desks tracking a record-size APAC non-financial deal if the term sheet size clears.

What’s next: SoftBank IR or shelf amendment confirming the notes; Sep 24 pricing / Sep 29 settle; Oct 1 third-tranche close IR; any change to LTV / liquidity guidance.

— Nico Valdez