SoftBank secures $11.87 billion loan for OpenAI investment

SoftBank Group Corp., a Japanese conglomerate, has secured an $11.87 billion loan to support its investment in OpenAI, the US artificial intelligence firm. The two-year facility, sealed last week, attracted commitments from around 20 banks. This is part of SoftBank's broader debt financing strategy, which includes a potential $10-20 billion bond sale. SoftBank plans to invest close to $65 billion in OpenAI by October. The news caused SoftBank shares to tumble 13% on Monday, September 14, reflecting investor concerns about the company's increasing debt and AI-related risks.