SoftBank Group Corp said it would buyback up to 600 billion yen (USD 5.5 billion) of its shares, following the blockbuster initial public offering of its telecoms business.
SoftBank raised 2.4 trillion yen from the listing of the domestic telecom operations in December, the world’s second-largest initial public offering ever. Funds from the IPO and the cash flow via the generous 85-per cent dividend payout ratio will help Son make further investments in global technology startups.
Masayoshi Son has been remaking SoftBank Group from primarily a telecommunications operator into a technology investment firm. With the listing of domestic telco operations in December and the sale of Sprint Corp in the U.S., the billionaire can focus on the $100 billion Vision Fund. The portfolio already includes the world’s biggest ride-hailing companies including Uber Technologies Inc., co-working giant WeWork Cos. and leading chipmaker Arm Holdings Plc.
Telecom unit SoftBank Corp yesterday reported a 24 percent increase in profit during the quarter, despite a mobile service outage that hit millions of customers before its initial public offering in December. The company kept its outlook for net income to climb 4.8 percent to 420 billion yen in the fiscal year ending in March.―The Hindu Business Line