SoftBank to sell $7.9 billion of Alibaba stock to cut debtStaff writer ▼ | June 1, 2016
SoftBank Group will sell at least $7.9 billion of shares in Alibaba Group, a move that will cut the Japanese firm's debt.
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The planned share sale will include $5 billion to $6 billion of stock that will be sold by private placement to institutional investors by a SoftBank-controlled trust. Morgan Stanley and Deutsche Bank will manage that portion of the sale.
Another $2 billion worth of stock will be bought by Alibaba using cash on hand and $400 million will be bought by the Alibaba Partnership, a 34-person group made up of Ma and other Alibaba founders and executives. An additional $500 million worth of stock is set to be sold to an unidentified sovereign wealth fund. ■