The Japanese investment company had originally aimed to secure a $10 billion margin loan backed by its OpenAI holdings.

However, discussions with banks and other potential lenders have recently shifted towards a smaller deal that could fall to about $6 billion, according to people familiar with the talks.

The loan is still under discussion and the final size could still change.

Lenders reportedly became cautious because OpenAI is privately owned, making it harder to determine a stable market value for the company.

Although OpenAI was recently valued at around $852 billion in a funding round earlier this year, creditors are wary about using unlisted shares as collateral for such a large borrowing arrangement.

A margin loan allows investors to borrow money against the value of assets they already own. In this case, SoftBank planned to use its OpenAI stake to secure the financing.

The proposed loan would run for two years, with an option to extend it by another year. Reports earlier this year also said the borrowing could carry an interest rate tied to SOFR plus 425 basis points, pushing costs close to 8%.

That is significantly higher than standard corporate lending rates and reflects the risks lenders see in the structure.

SoftBank has increased its financial exposure to OpenAI over the past two years. The company first invested in the ChatGPT maker in September 2024 and later expanded the partnership through Stargate, a large artificial intelligence infrastructure project launched in the United States in January 2025.

In March this year, SoftBank also secured a separate $40 billion bridge loan backed by major banks including JPMorgan and Goldman Sachs.

The company said the funding would support OpenAI investments and broader corporate operations.

Analysts estimate SoftBank’s total investment commitment to OpenAI could eventually reach about $64.6 billion, giving the group roughly a 13% in the company.

At the same time, some analysts believe SoftBank faces a financing gap of around $32 billion over the next two years.

To raise cash, the company has already sold several major assets. In 2025, SoftBank exited its Nvidia position for about $5.8 billion and also sold T-Mobile shares valued at roughly $12.7 billion.

Credit rating agency S&P recently revised SoftBank’s outlook to negative while keeping its BB+ rating, pointing to the company’s debt exposure and aggressive borrowing strategy.

Neither SoftBank nor OpenAI immediately responded to requests for comment following the latest reports on the loan discussions.

• BlackRock is the world’s most valuable asset management brand at $8.3 billion while J.P. Morgan Asset Management is the strongest asset management brand ranked
• PIF ranked as the most valuable sovereign wealth fund brand and fastest-growing in terms of brand value
• The Abu Dhabi Investment Authority (ADIA) is the strongest sovereign wealth fund brand

For the second year, BlackRock is ranked as the world’s most valuable asset management (AM) brand with a value of USD8.3 billion, and PIF is the most valuable and fastest-growing sovereign wealth fund (SWF), according to the latest data from Brand Finance, the world’s leading independent brand valuation consultancy.

The Asset Management and Sovereign Wealth Fund 50 2025 is the second iteration of the Brand Finance annual ranking of the world’s strongest and most valuable AM and SWF brands.

The collective value of the 50 ranked brands has grown 5% year on year, totaling nearly USD73.9 billion in 2025.

BlackRock’s brand value has risen 17% in 2025, largely driven by a surge in assets under management, strategic acquisitions in private markets, and continued leadership in technology and AI.

The coming months will be pivotal for the asset management giant and its ongoing efforts to carve out a share of private markets, as BlackRock announced 1 July it took over HPS Investment Partners, closing a trio of acquisitions totalling USD30.0 billion.

PIF has the single most valuable brand name among the world’s SWFs; valued at USD1.2 billion, up 11% from 2024.

It also ranked seventh for brand value to AUM ratio among all AM and SWF brands combined, the only SWF to feature in the top 10. PIF’s assets under management have grown rapidly due to robust portfolio performance, driven by a range of key portfolio companies and long-term projects that are beginning to mature.

Vanguard’s brand value is roughly the same as in 2024 at USD6.0 billion, enough to hold onto its third place spot for the second year in a row.

JP Morgan also remains the world’s strongest AM & SWF brand ranked, boasting a Brand Strength Index (BSI) score of 87.6 out of 100, followed closely by BlackRock with a BSI score of 87.0 out of 100. Both achieve an AAA brand strength rating.

PIF’s value is largely driven by high scores for the brand’s awareness, purpose and commitment to positive growth.

Among the other notable high-ranking SWFs, Abu Dhabi Investment Authority is the strongest SWF brand, scoring 64.1 out of 100. PIF’s own BSI is 62.9 out of 100, an increase from last year and both brands achieve an A+ brand strength rating.

David Haigh, Chairman and CEO, Brand Finance, commented:

“Brand Finance research finds that high-profile investments with a positive impact continue to build the brand values of asset managers and sovereign wealth funds. This is evident in the impact of successful sports partnerships, which deliver an observable uplift in awareness and familiarity among B2B and informed audience. Formula 1 and football are powerful and popular ways for asset managers and sovereign wealth funds to raise their international profiles in a way that is consistent with the brands’ wealth and stature. For instance, JP Morgan’s banking division Chase just became the first sponsor of Arsenal FC’s VIP Lounge. In 2024, PIF signed groundbreaking global partnerships accelerating the growth of sports with ATP and WTA tennis, Concacaf and Formula E, Extreme E and E1 under the E360 umbrella while its ownership of LIV Golf has brought a new global audience to the game.”

According to a report by Reuters, four sources familiar with the matter said it would be his first trip there in seven years.

Dimon is expected to visit Kenya, Nigeria, South Africa and Ivory Coast during the trip next month, two of the sources said. Meanwhile, JPMorgan already has offices in South Africa and Nigeria where it offers asset and wealth management as well as commercial and investment banking services.

Its overseas markets have been a key focus area to generate growth for JPMorgan — which has assets of over $4.1 trillion and operations in more than 100 countries.

In 2018, Dimon said the lender would look at entering Ghana and Kenya. Local regulators in those two countries had blocked JPMorgan’s growth plans, according to media reports.

Earlier, Kenyan President William Ruto said in February 2023 after a meeting with a senior JPMorgan executive that the bank had committed to opening a new office in Nairobi.

According to Eric Musau, head of research at Nairobi-based Standard Investment Bank, major global banks are seeking to gain a bigger share of sovereign debt and corporate transactions in Africa,  while also aiming to serve more international companies that have operations on the continent.

International lenders are seeking to grow their revenues by offering wealth management services that provide access to investments like offshore equity, debt and mutual funds, Musau added.

Banking giants are also offering private banking services, seeking to differentiate themselves from local and regional lenders that are prevalent in retail markets.
While most consumers on the continent have access to financial services through local and regional commercial banks, private banking “is where the next evolution will be,” said Francis Mwangi, CEO of Kestrel Capital, a Nairobi brokerage.

JPMorgan is among the top five international private banks by assets under supervision and growth in overseas markets is a key priority, it said in May.
In the last five years, about 700 bankers have been involved in expanding into 27 new locations worldwide, generating $2 billion in revenue for its commercial and investment bank, JPMorgan’s President Daniel Pinto told investors in May.

JPMorgan has an advisory board of international executives and former policymakers that have links to Africa, including Nigerian billionaire Aliko Dangote and former British Prime Minister Tony Blair who founded the Africa Governance Initiative.

It also appointed Standard Chartered Bank and the Lagos-based financial advisory firm Chapel Hill Denham to consult on this venture.

The Eurobond issue which would be the first since 2022, marks the country’s return to the international bond market after a two-year pause. In March 2022, the country raised $1.25 billion through Eurobond issuances.

This development, as reported by Bloomberg and informed by sources close to the transaction, underscores the intent of Africa’s leading oil-producing nation to re-engage with global financial markets in order to bolster its fiscal budget

The report stated that the size of the Eurobond offer which is expected before June is yet to be determined, the people who requested anonymity because they weren’t authorised to comment publicly on the matter, said.

It further added that the nation might aim to accumulate up to $1bn in international loans throughout 2024.

This external funding is crucial for Nigeria as it seeks to finance a substantial budget deficit outlined in President Bola Tinubu’s N28.8 trillion ($18 billion) spending blueprint for 2024, targeting a fiscal shortfall of N9.8 trillion, or 3.8 per cent of its GDP.

The deficit is expected to be bridged through local and international borrowings and assistance from global financial institutions.

Last year December, the Minister of Finance and Coordinating Minister of the Economy, Wale Edun, hinted that Nigeria was contemplating issuing Eurobonds later in the year if the rates are considerably lower, stating that major issuers have informed the country of the possibility this year.

He noted, “It is a matter of discussion at the moment, but we think we will get the support because we are continuing with our reforms.”

Since assuming office in May 2023, President Tinubu has aggressively pursued policies to revitalise foreign investment inflows into Nigeria.

These initiatives range from implementing two devaluations of the naira to foster a more flexible exchange rate regime, narrowing the disparity between the Central Bank’s policy rate and the yields on government securities, to the controversial elimination of fuel subsidies.

In a related development, the Federal Government says it seeks to borrow N450 billion from its third FGN bond auction of 2024, according to the latest circular from the Debt Management Office.

This figure is 82 per cent less than the N2.5 trillion target from the same bond auction in the previous month.

According to the circular published on the DMO website, the auction is set for March 18, 2024, with a settlement date of March 20, 2024.

The DMO’s circular detailed that the offer includes three different bonds: a new 3-year bond for March 2027, and re-openings of the 18.50 per cent FGN February 2031 and the 19.00 per cent FGN February 2034 bonds.

Each bond has an allocation of N150 billion, totalling the government’s N450 billion borrowing target for this month.

In 2023, the Federal Government raised about N5.49 trillion through FGN bond auctions which were used to finance the 2023 budget deficit of N11.34 trillion.

In January 2024, the Federal Government raised about N418.197 billion from the four bonds that were auctioned.

The Federal Government in February 2024 realised N1.49 trillion from the two FGN bond offer issued by the DMO below the target of N2.5 trillion.

With the budget deficit in the 2024 budget put at N9.18 trillion, the Federal Government seems committed to borrowing more from the domestic market.

JPMorgan Asset Management projects that investors may divest as high as $30 billion of their holdings in private credit funds this year.

Andrew Carter, JPMorgan ’s Head of Private Credit Secondaries, noted that, the above-mentioned companies are major participants in the $1.6 trillion private credit market are trying to sell off parts of their investments in less liquid funds to generate cash.

He also noted that this activity is driving growth in the global secondary credit market.

Carter said, “Today, deal flow is again being driven by liquidity needs given the slowdown in cash flows created by debt repayments, which has resulted from decreased M&A and capital markets activity,”

Private credits refer to loans or debt instruments extended to companies by non-banking entities, such as private equity firms, hedge funds, and other non-traditional lenders, rather than by traditional banks.

However, within the Nigerian context, the private credit market involves the buying and selling of these debt instruments outside the regular banking system. This underscores the importance of FMDQ Securities Exchange comes into play.

FMDQ serves as a platform for the trading and listing of various debt instruments, including commercial papers, corporate bonds, and sub-national bonds.

The most common investors in this private debt market are insurance and pension funds, as these debt instruments serve as a way to earn returns on their investments. For example, as of November 2023, the total pension fund assets invested in corporate debts, money market instruments, and commercial papers in Nigeria was about N3.76 trillion ($3.99 billion).

As of January 10, 2023, the debt market size on the FMDQ Securities Exchange was put at N47.95 trillion ($50.9 billion).

Bloomberg revealed that, pension and insurance companies are reconsidering their investments in global credit markets to handle liabilities or respond to new regulations. However, sovereign wealth funds in the Middle East are increasing their involvement in these markets, as per data from the Global SWF 2023 Annual Report.

But according to Andrew Carter “The general trend we’re seeing in private credit is that Europe is selling and the Middle East is buying.”

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