SoftBank Corp. Decides on Terms and Conditions for Issuance of its Sustainability Bond (“HAPS Bond”)
SoftBank Corp. (“SoftBank”) announced that it determined the following terms and conditions for the issuance of its Sustainability Bond (17th series and 18th series Unsecured Bond, also referred to as the “HAPS Bond”) announced on November 24, 2021. For the purpose of realizing a society where everyone is connected, proceeds from the “HAPS Bond” will be used for SoftBank’s High Altitude Platform Station (HAPS) business that aims to provide wide-area and stable telecommunication networks from the stratosphere.
| 17th series Unsecured Bond (with inter-bond pari passu clause) (Sustainability Bond) | 18th series Unsecured Bond (with inter-bond pari passu clause) (Sustainability Bond) | |
|---|---|---|
| Term | 7 years | 10 years |
| Amount of issue | 15,000 million JPY | 15,000 million JPY |
| Denomination per bond | 100 million JPY | |
| Interest rate | 0.51% | 0.62% |
| Terms and conditions determination date | January 21, 2022 | |
| Issue date | January 27, 2022 | |
| Maturity date | January 26, 2029 | January 27, 2032 |
| Use of proceeds | HAPS business research and development and other HAPS-related costs | |
| Credit ratings | AA- (Japan Credit Rating Agency, Ltd.) A+ (Rating and Investment Information, Inc.) | |
| Underwriters | Mitsubishi UFJ Morgan Stanley Securities Co., Ltd. Mizuho Securities Co., Ltd. | |
| Structuring agents* | Mitsubishi UFJ Morgan Stanley Securities Co., Ltd. Mizuho Securities Co., Ltd. |
[Note]
- *Parties that support the issuance of sustainability bonds by establishing the issuer’s sustainability bond framework and advising on the acquisition of external second party opinions
In conjunction with the issuance of the “HAPS Bond”, SoftBank drew up a Sustainability Bond Framework that set policies for use of raised funds, the project evaluation and selection process, management of raised funds and results reporting based on International Capital Market Association (ICMA) guidelines. This framework has received a supportive second party opinion from the independent external organization Japan Credit Rating Agency, Ltd. (JCR). JCR is of the opinion the framework is compliant with the Green Bond Principles 2021 (ICMA), the Green Bond Guidelines, 2020 (Ministry of the Environment, Government of Japan), Social Bond Guidelines (Financial Services Agency, Government of Japan, published October 2021) and the Sustainability Bond Guidelines 2021 (ICMA).
The “HAPS Bond” is recognized as a SDG Bond in Japan. Proceeds from SDG Bonds are used for businesses that solve environmental and social issues.
For more on SoftBank’s sustainability initiatives, please visit this website.
- SoftBank, the SoftBank name and logo are registered trademarks or trademarks of SoftBank Group Corp. in Japan and other countries.
- Other company, product and service names in this press release are registered trademarks or trademarks of the respective companies.
