SoftBank tried to borrow $6 billion against its OpenAI stake to keep funding OpenAI. Banks said no

SoftBank is sitting on one of the most valuable AI investments in history. Yet when the Japanese tech giant tried to borrow $6 billion against its 13% stake in OpenAI, lenders hit the brakes.

The failed financing effort highlights a growing tension at the center of the AI boom. OpenAI’s valuation has soared into the hundreds of billions of dollars, creating massive paper wealth for investors. Turning those gains into cash without selling shares is proving far more difficult.

According to a Bloomberg report published Tuesday, SoftBank Group’s discussions with potential creditors to secure a margin loan backed by its OpenAI holdings have stalled. The talks broke down just weeks after the company reportedly reduced its fundraising target from $10 billion to at least $6 billion.

“SoftBank Group Corp.’s talks with potential creditors to raise at least $6 billion from a margin loan backed by its OpenAI stake have stalled,” Bloomberg reported, citing people familiar with the matter.

The report added: “The company is considering various fundraising options, according to the people, who asked not to be identified, discussing private matters. It could still move forward with the margin loan at a later stage.”

Why SoftBank’s $100 Billion OpenAI Stake Couldn’t Unlock a $6 Billion Loan From Lenders

The setback comes at a time when SoftBank founder Masayoshi Son is doubling down on artificial intelligence. Over the past year, SoftBank has emerged as one of OpenAI’s largest backers, committing roughly $64.6 billion across multiple investments.

That bet has paid off on paper.

OpenAI’s most recent funding round valued the ChatGPT maker at roughly $852 billion, placing it among the most valuable private companies ever created. SoftBank’s stake is estimated to be worth well over $100 billion at that valuation.

The investment has become a major profit driver for the company. SoftBank reported a $25 billion unrealized gain tied to its OpenAI position during the first quarter of 2026. Over the previous 12 months, the value of the holding increased by about $44 billion, helping fuel a sharp rise in annual profits.

Yet lenders appear reluctant to treat those paper gains as readily available collateral.

SoftBank’s $6 Billion OpenAI-Backed Loan Hits Roadblock Amid Valuation Concerns

A key issue is valuation. OpenAI remains a private company, and assigning a dependable value to a stake that cannot be easily sold presents challenges for banks considering a multibillion-dollar loan. According to Bloomberg, some lenders had already expressed reservations during earlier fundraising discussions, prompting SoftBank to reduce its original $10 billion target.

The report said SoftBank had secured commitments for approximately $5 billion before negotiations stalled. It remains unclear whether those commitments were formal agreements or preliminary indications of interest.

The financing structure SoftBank pursued is common among wealthy investors and large institutions. Margin loans allow borrowers to raise cash using valuable assets as collateral without selling those assets outright. The approach can provide liquidity, preserve ownership, and avoid triggering taxable events.

For SoftBank, fresh capital could support a wide range of initiatives. The company continues to invest aggressively across artificial intelligence, data infrastructure, semiconductor projects, and its Vision Fund portfolio. Access to billions of dollars in financing would give Son additional flexibility as competition for AI leadership intensifies.

Investors appeared unsettled by the latest development. SoftBank shares fell nearly 10% in early trading Wednesday following reports that the financing effort had stalled.

The timing is notable.

OpenAI recently confidentially filed paperwork with the U.S. Securities and Exchange Commission for a potential initial public offering, according to reports earlier this month. A public listing could provide clearer market-based pricing for the company and potentially make lenders more comfortable extending large loans backed by OpenAI shares.

For now, SoftBank is reportedly exploring alternative fundraising options. Sources familiar with the discussions told Bloomberg that the margin loan could be reinstated at a later date if market conditions change or if OpenAI’s path to the public markets provides greater certainty about valuation.

The episode offers a reminder that headline-grabbing valuations and accessible capital are not always the same thing. SoftBank’s OpenAI stake may be worth more than $100 billion on paper, yet convincing banks to lend a fraction of that amount remains a challenge.