You Are Here
britthammond

SoftBank Group’s market cap dips below domestic telco as scepticism grows

Business

SoftBank Group Corp (9984.T) shares fell as much as 11.6% on Wednesday, with its market capitalization dipping below the value of its domestic telco, as uncertainty grows over its management of a portfolio of unproven startups.

The tech conglomerate’s market cap fell to a low of 6.84 trillion yen ($64 billion), below SoftBank Corp’s (9434.T) 7.1 trillion yen, reflecting the depth of investor scepticism over Chief Executive Masayoshi Son’s assertions his tech bets are back on track and as the coronavirus outbreak roils markets.

SoftBank is considering pulling out of a $3 billion bid to buy additional shares in its biggest soured bet, office-sharing firm WeWork, in what would be a major U-turn after it was forced to bail out the startup.

Last week, SoftBank announced a $4.8 billion share buyback amid fragile markets, a move S&P Global Ratings said “raises questions over its commitment to financial management” and prompted a revision in its outlook for the company to negative.

“We believe SoftBank’s aggressiveness in pursuing growth and managing its finances makes its financial standing weak,” S&P said.

Unlike peers such as Toyota Motor Corp (7203.T) and Uniqlo parent Fast Retailing Co (9983.T), SoftBank’s Son has spent much of his cash pile investing in overseas startups, many of which analysts believe are exposed to a looming slowdown.

“We think no other company in Japan is as indebted and as exposed to the economic downturn as SoftBank,” Amir Anvarzadeh, market strategist at Asymmetric Advisors, wrote in a note.

SoftBank last month said it would pledge shares in its domestic telco as collateral to raise up to $4.5 billion, reflecting its falling back on established portfolio businesses for cash as its $100 billion Vision Fund struggles to raise capital for a successor fund.

“For the next few months, cash is going to be the single most important factor as only cash will allow affected businesses to survive the very sharp (but temporary) decline in their revenues,” tech analyst Richard Windsor wrote in a note.

285 thoughts on “SoftBank Group’s market cap dips below domestic telco as scepticism grows”

  16. Hello, you used to write great, but the last several posts have been kinda boring… I miss your great writings. Past several posts are just a little bit out of track! come on!

  22. It is in point of fact a nice and helpful piece of information. I am satisfied that you shared this helpful info with us. Please stay us up to date like this. Thanks for sharing.

  25. I love your blog.. very nice colors & theme. Did you create this website yourself? Plz reply back as I’m looking to create my own blog and would like to know wheere u got this from. thanks

  26. Heya are using WordPress for your site platform? I’m new to the blog world but I’m trying to get started and set up my own. Do you require any coding expertise to make your own blog? Any help would be really appreciated!

  29. Excellent beat ! I would like to apprentice while you amend your site, how could i subscribe for a blog site? The account helped me a acceptable deal. I had been a little bit acquainted of this your broadcast provided bright clear idea

  35. Howdy would you mind stating which blog platform you’re using? I’m going to start my own blog in the near future but I’m having a hard time choosing between BlogEngine/Wordpress/B2evolution and Drupal. The reason I ask is because your layout seems different then most blogs and I’m looking for something completely unique. P.S Apologies for getting off-topic but I had to ask!

  41. I have been surfing online more than 3 hours as of late, yet I never found any interesting article like yours. It is beautiful value sufficient for me. In my view, if all site owners and bloggers made good content as you did, the web can be much more useful than ever before.

  42. Thank you for sharing superb informations. Your web site is very cool. I’m impressed by the details that you’ve on this site. It reveals how nicely you understand this subject. Bookmarked this web page, will come back for more articles. You, my friend, ROCK! I found simply the info I already searched all over the place and simply could not come across. What a great web site.

  49. I have been exploring for a little for any high-quality articles or blog posts in this sort of house . Exploring in Yahoo I ultimately stumbled upon this website. Studying this info So i am satisfied to show that I have a very just right uncanny feeling I found out just what I needed. I so much indisputably will make sure to don’t disregard this website and provides it a glance regularly.

  56. An interesting dialogue is value comment. I believe that it is best to write extra on this topic, it won’t be a taboo subject however typically individuals are not enough to speak on such topics. To the next. Cheers

  58. I think this is among the most vital information for me. And i’m glad reading your article. But want to remark on some general things, The web site style is wonderful, the articles is really nice : D. Good job, cheers

  158. Incredible! This blog looks exactly like my old one! It’s on a entirely different topic but it has pretty much the same page layout and design. Great choice of colors!|

  164. It’s in point of fact a great and useful piece of info. I’m happy that you simply shared this useful information with us. Please stay us up to date like this. Thanks for sharing.|

  167. Yesterday, while I was at work, my cousin stole my apple ipad and tested to see if it can survive a thirty foot drop, just so she can be a youtube sensation. My apple ipad is now destroyed and she has 83 views. I know this is entirely off topic but I had to share it with someone!|

  173. Wow, amazing blog layout! How long have you been blogging for? you make blogging look easy. The overall look of your site is great, as well as the content!|

  215. I know this if off topic but I’m looking into starting my own weblog and was curious what all is needed to get set up? I’m assuming having a blog like yours would cost a pretty penny? I’m not very internet smart so I’m not 100% sure. Any tips or advice would be greatly appreciated. Many thanks|

  219. I wanted to post you that tiny remark to say thanks a lot over again just for the pleasant solutions you have featured in this case. It was really shockingly open-handed with you to grant publicly just what many of us might have offered for an ebook to get some dough for themselves, mostly now that you might have tried it in case you desired. These secrets as well served to be the good way to fully grasp that other people online have the identical interest much like my personal own to learn more regarding this matter. I am sure there are numerous more pleasant periods in the future for many who read your site.

  220. Thank you for every one of your labor on this web site. My daughter really loves making time for investigations and it’s really obvious why. Most people learn all regarding the lively mode you present invaluable steps on this web blog and as well as improve participation from people on that idea so our girl is certainly learning a lot of things. Have fun with the remaining portion of the new year. You are conducting a pretty cool job.

  223. I’m also commenting to let you be aware of of the excellent discovery my cousin’s child enjoyed checking your blog. She discovered a wide variety of details, most notably how it is like to have a marvelous coaching heart to get many more easily fully understand certain complicated matters. You actually did more than my desires. I appreciate you for delivering such great, healthy, educational and also cool guidance on that topic to Evelyn.

  224. I’m also commenting to let you be aware of of the brilliant discovery my child encountered checking your blog. She came to understand a lot of details, including how it is like to have a marvelous coaching heart to get folks easily fully grasp a variety of complex issues. You actually did more than my desires. I appreciate you for delivering such good, dependable, edifying and also cool guidance on that topic to Ethel.

  225. Thanks for your own work on this website. My mother take interest in participating in research and it is simple to grasp why. My spouse and i notice all relating to the powerful way you provide valuable tips via your website and in addition recommend response from visitors on this subject matter while our own simple princess is undoubtedly studying so much. Take pleasure in the rest of the year. You have been performing a terrific job.

  226. I am commenting to let you know of the great encounter my friend’s daughter found reading your web page. She figured out numerous issues, not to mention what it’s like to have a wonderful giving mood to have men and women really easily have an understanding of selected hard to do subject areas. You really exceeded our own expectations. Many thanks for imparting the interesting, safe, explanatory and even easy thoughts on the topic to Gloria.

  228. I am glad for writing to make you know what a nice encounter my wife’s girl had studying your web site. She mastered several pieces, which include what it’s like to possess an awesome helping nature to let other individuals very easily know precisely some problematic subject matter. You truly exceeded people’s expectations. Thank you for presenting these powerful, trusted, informative and in addition fun tips about this topic to Kate.

  231. I am only writing to make you understand what a really good experience our princess undergone viewing your webblog. She picked up some things, which included what it is like to possess an ideal teaching spirit to make the mediocre ones without difficulty master specified tortuous things. You undoubtedly surpassed readers’ expected results. Thanks for rendering those productive, trustworthy, revealing as well as unique tips on your topic to Mary.

  235. Thanks for the suggestions about credit repair on this particular web-site. The things i would offer as advice to people is usually to give up this mentality that they buy at this point and fork out later. As being a society most of us tend to make this happen for many factors. This includes trips, furniture, in addition to items we’d like. However, it is advisable to separate one’s wants from the needs. As long as you’re working to raise your credit ranking score you really have to make some trade-offs. For example you may shop online to economize or you can check out second hand outlets instead of high priced department stores intended for clothing.

  237. I am glad for writing to make you know what a nice encounter my wife’s girl had studying your web site. She mastered several pieces, which include what it’s like to possess an awesome helping nature to let other individuals very easily know precisely some problematic subject matter. You truly exceeded people’s expectations. Thank you for presenting these practical, trusted, informative and in addition fun tips about this topic to Kate.

  282. I used to be suggested this blog by means of my cousin. I am not positive whether this post is written by means of him as no one else understand such precise about my difficulty. You are amazing! Thanks!|

Leave a Reply

Your email address will not be published.