What You Need to Know About SoftBank’s $21 Billion IPO

What You Need to Know About SoftBank’s $21 Billion IPO

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Interactive Video

Business

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The video discusses SoftBank's plan to offer 1.6 billion shares, representing a 33% stake in its domestic telecom business, raising about $21 billion. The IPO is Japan's largest, with most shares sold to retail investors. Despite market pressures, including government-mandated rate cuts and new competition from Rakuten, SoftBank's strategy involves using IPO proceeds to fund its Vision Fund. The company aims to transform from a telecom entity to a major investor, addressing its conglomerate discount by potentially buying back shares.

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5 questions

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1.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

What percentage of SoftBank's shares will be sold domestically in Japan?

90%

50%

100%

70%

2.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

Which new competitor is entering the mobile network space in Japan, potentially increasing pricing pressure?

Amazon

Rakuten

Google

Apple

3.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

What is the primary purpose of SoftBank's Vision Fund?

To buy back shares

To invest in real estate

To finance startups

To acquire telecom companies

4.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

What is the estimated market cap of SoftBank compared to the value of its publicly held shareholdings?

15 trillion yen vs 15 trillion yen

9 trillion yen vs 9 trillion yen

15 trillion yen vs 9 trillion yen

9 trillion yen vs 15 trillion yen

5.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

What is one potential use of the funds raised from SoftBank's IPO?

Acquiring new companies

Funding a new Vision Fund

Buying back shares

Paying off debt