SoftBank has raised $7.4 billion against its 87 million Intel shares through prepaid forward contracts, creating a potential share overhang but no confirmed sale. The company disclosed on November 10 that it entered the contracts in August, according to BeInCrypto; they cover roughly 1.6% of Intel’s outstanding shares. SoftBank has not disclosed a settlement timetable, and the arrangement does not automatically trigger a forced sale.
SoftBank paid $2 billion for the stake in 2025, whose value reached $10.5 billion by September 30 before Intel shares fell from $120.23 in September to $58.13 on November 10, reducing the stake’s value to about $5.1 billion. SoftBank reported a fiscal second-quarter net loss of 1.12 trillion yen, or approximately $7 billion, including approximately $2 billion in derivative losses and $1.7 billion in Intel valuation losses during the September quarter. Intel shares plunged approximately 30% on October 30 after the company forecast weaker fourth-quarter revenue and warned of continued PC demand weakness, then gained around 8% during Wednesday’s trading. S&P Global estimates show 49 analysts with an average 12-month price target of $91.12 and a consensus Hold rating; Citi cut its target from $130 to $100, while JPMorgan lowered its forecast to $80. CFO David Zinsner expects the PC slowdown to continue “at least through the first half of next year.”