SoftBank Group shares dropped as much as 13% on Monday.
The company secured a new $11.87 billion loan to fund its investment in OpenAI. This two-year loan increased from an initial target of $10 billion. Approximately 20 banks participated in the financing.
Investor anxiety regarding the pace of artificial intelligence development also fueled the decline. OpenAI CEO Sam Altman recently ruled out a 2026 IPO, citing safety concerns. These developments raise questions about future returns on SoftBank’s debt-backed AI strategy.