SoftBank Group is reportedly tapping Japanese retail investors with a new yen bond deal worth around $1.6 billion, according to Bloomberg. The exact terms of the latest transaction could not be fully verified through open sources, but the move fits Masayoshi Son’s broader funding strategy: SoftBank has been using debt markets to support large artificial intelligence bets and refinance existing obligations.

Retail bonds remain an important funding channel for SoftBank in Japan. Individual investors have historically shown strong demand for the group’s debt, especially when coupons stand well above bank deposit rates. In April, SoftBank priced a major retail bond offering of ¥418 billion, or about $2.6 billion, with a 4.97% coupon — a record level for this type of debt from the company.

The new deal comes as investors pay closer attention to SoftBank’s balance sheet. The company is making large AI-related commitments across OpenAI, Arm and computing infrastructure. Reuters previously reported that SoftBank raised $1.5 billion and €1.75 billion through foreign-currency bonds, with part of the proceeds used to repay a bridge loan tied to its OpenAI investment.

For investors, the signal is clear: SoftBank still has access to capital, but that capital is becoming more expensive. The more the company funds its AI expansion with debt, the more closely markets will watch leverage, cash flows and the actual returns from its artificial intelligence portfolio.