Log in
Login
Password
Remember
Forgot password ?
Become a member for free
Sign up
Sign up
Settings
Settings
Dynamic quotes 

4-Traders Homepage  >  News

News

Latest NewsCompaniesMarketsEconomy & ForexCommoditiesInterest RatesHot NewsMost Read NewsRecomm.Business LeadersCalendar 
The feature you requested does not exist. However, we suggest the following feature:

Alibaba : SoftBank Plans To Sell USD7.9 Billion Of Alibaba Stock

share with twitter share with LinkedIn share with facebook
share via e-mail
0
06/01/2016 | 07:28am CEST

BEIJING (Alliance News) - Japanese mobile carrier SoftBank Group Corp said late Tuesday that it will sell at least USD7.9 billion of its shares in Chinese e-commerce giant Alibaba Group Holding Ltd in order to boost its liquidity and raise funds to reduce debt.

SoftBank, owner of telecom company Sprint Corp, said that the Alibaba stake sale will increase its liquidity cushion as well as enable flexible and prudent financial management.

SoftBank said it will issue USD5 billion in mandatory exchangeable trust securities convertible into American depositary shares of Alibaba, in a private placement to institutional buyers.

The company also intends to sell USD2 billion of Alibaba shares back to Alibaba, USD400 million in shares to the Alibaba Partnership, and USD500 million of shares to a major unidentified sovereign wealth fund.

The sale of Alibaba shares would be the first by SoftBank since it started to invest in Alibaba in 2000. SoftBank said it continues to be committed to its partnership with Alibaba, and the transactions are driven purely by its capital structure and de-leveraging objectives.

Following the share sale, SoftBank's stake in Alibaba will be reduced to about 28% from 32.2% in end March 2016. However, SoftBank will remain Alibaba's largest stockholder and close strategic partner following the stake sale.

SoftBank's Chairman & CEO Masayoshi Son will remain a board director of Alibaba, and Alibaba's Executive Chairman Jack Ma will remain a board director of SoftBank.

In connection with the stake sale, SoftBank said it will also enter into a lockup agreement with Alibaba under which it has agreed not to transfer any Alibaba shares held by it for a period of six months, subject to certain exceptions.

Copyright RTT News/dpa-AFX, source Alliance News

share with twitter share with LinkedIn share with facebook
share via e-mail
0
React to this article
Latest news
Date Title
07:28a ALIBABA : SoftBank Plans To Sell USD7.9 Billion Of Alibaba Stock
07:27a XIAN LENG BHD : Proposed share buy-back by the company
07:27a TEIJIN : to Participate in China International Exhibition of Senior Care, Rehabilitation Medicine and Healthcare 2016
07:27a XIAN LENG BHD : Annual Report – 2016
07:27a GENERAL MEETINGS : Notice of Meeting
07:27a SOUTH DAKOTA FARM BUREAU : SDSU Extension Accepting Applications for beefSD
07:27a GENERATION HEALTHCARE REIT : Revised Distribution Reinvestment Plan
07:27a PRESS : HSBC To Trim Senior Investment Banking Jobs To Cut Costs
07:25a Crude Oil Prices Drop on Fading Hopes for OPEC Output Freeze
07:25a US Dollar May Rise as ISM, Beige Book Surveys Hint Prices Firming
Latest news
Advertisement
Hot News 
SCIQUEST (SQI) ALERT : Johnson & Weaver, LLP Launches an Investigation into the Fairness of Price and Process in Proposed Sale of SciQuest, Inc.; Are Shareholders Getting a Fair Price?
ELECTRO RENT CORPORATION : Brodsky & Smith, LLC Announces Investigation of The Board of Directors of Electro Rent Corporation - ELRC
CELATOR PHARMACEUTICALS : soars on news of acquisition
WESTAR ENERGY (WR) ALERT : Johnson & Weaver, LLP Launches an Investigation into the Fairness of Price and Process in Proposed Sale of Westar Energy, Inc.; Are Shareholders Getting a Fair Price?
CLIFFS NATURAL RESOURCES : United Taconite to reopen in October
Most Read News
05/31 UN UNITED NATIONS : Non-Governmental Organizations Committee Recommends 12 Groups for Consultative Status, Postpones Action on 33
Most recommended articles
01:25a Crude Oil Prices Drop on Fading Hopes for OPEC Output Freeze
01:25a US Dollar May Rise as ISM, Beige Book Surveys Hint Prices Firming
01:24a APPLE : plans to sell $1 billion of 30-year bonds in Taiwan - sources
12:55aDJLAS VEGAS SANDS : to Settle Suit Filed by Former Macau CEO
05/31DJChina Stimulus Measures Help Soften Economic Slowdown