SoftBank CDS Widens, Rakuten Narrows as Credit Views Diverge

SoftBank Group Corp.’s credit-default swaps climbed to the highest level since April, as investors turned cautious on the tech behemoth’s debt-fueled growth at a time of intensifying global competition.

The company, which has been unwinding positions to pay for a plethora of AI projects, from Stargate data centers with OpenAI and Oracle Corp. to robot manufacturing sites in the US, saw its five-year CDS rise to about 302 basis points on Thursday, up from around 280 basis points the previous day, according to data compiled by Bloomberg.