TOKYO (Nikkei)--Softbank Corp. (9984.TO) is planning yet another
record-breaking sale of retail bonds to Japanese investors, seeking
to raise around Y400 billion, The Nikkei reported in its Tuesday
morning edition.
Coming as early as next month, it will mark the biggest issuance
ever conducted by a nonfinancial Japanese company -- a record the
telecommunications group itself set in March at Y300 billion.
Including the new sale, Softbank will have raised more than Y1
trillion through debt offerings this year. The proceeds will go
toward its bid for third-ranked U.S. mobile phone carrier Sprint
Nextel Corp. (S), as well as for redeeming existing bonds.
This time, Softbank is expected to sell five-year debt with a
coupon likely in the upper-1% range, assuming market interest rates
remain little changed. Daiwa Securities Co. (8601.TO, Nomura
Securities Co. and Mizuho Securities Co. are expected to be among
the five lead managers.
Softbank aims to wrap up a $20.1 billion acquisition of 70% of
Sprint Nextel on July 1. To finance the roughly Y2.05 trillion
deal, it secured a bridge loan and in April sold about Y320 billion
worth of foreign-currency bonds in U.S. and European markets.
The new Japanese retail bond offering looks to be in line with
Softbank's original fundraising plans. While U.S. satellite
television provider Dish Network Corp. (DISH) has made a rival
offer for Sprint, Softbank President Masayoshi Son said late last
month that the company does not need to add to its war chest for
the acquisition.