Press Releases 2002

SOFTBANK announces a partial sale of its holding in UTStarcom, Inc.

Feb. 7, 2002

SOFTBANK CORP. announces that SOFTBANK America Inc. (Headquarter: Delaware, U.S.A., Representative: Masayoshi Son, “SBA”) decided to sell a part of its holding in UTStarcom, Inc. (Nasdaq:UTSI, Headquarter: California, U.S.A., “UTSI”).

SBA will sell 10,000,000 shares of UTSI, for an estimated aggregate purchase price of approximately US$214,000,000 based on the closing price as of February 6, $21.38 (translated amount in yen: approximately 28 billion yen, exchange rate: $1=133 yen). We will announce the amount of gain on sale of such shares after such amount is fixed. Although SBA’s stake in UTSI is expected to decrease from approximately 42% to approximately 32% after the transaction, SBA remains as the largest shareholder of UTSI and UTSI continues to hold an important strategic position with SOFTBANK Group.

The sale is one of many measures to improve our financial condition, and proceeds from the sale will be used to reduce consolidated net debt (debt minus liquidity on hand).

We have already announced as of December 28, 2001 that we expect to reduce net debt of nearly 100 billion yen from the proceeds of sale of shares of Yahoo! Inc. by SBA and the deconsolidation of Key3Media Group, Inc. In addition, SBA sold 18,000,000 shares of E*Trade Group Inc. for approximately 21 billion yen. We also expect to receive approximately 8.5 billion yen from the sale of 50,000 shares of SOFTBANK INVESTMENT CORPORATION (Headquarter: Minato, Tokyo, Representative: Yoshitaka Kitao, “SBI”) held by SOFTBANK FINANCE CORPORATION (Headquarter: Chiyoda, Tokyo, Representative: Yoshitaka Kitao) concurrently with the listing of SBI on the first section of Tokyo Stock Exchange.

An aggregated amount of approximately 150 billion yen including proceeds of 28 billion from the sale of UTSI shares, together with the above-mentioned transactions, will be used to decrease our consolidated net debt. As a result, we will make great strides in improving our financial condition.

This Press Release may contain “material information” as defined in Article 166 of the Securities and Exchange Law (“Material Information”). Please note that any person who has obtained information by reading a Press Release (including this one) containing Material Information may be subject to the “Insider Trading” Law if such person engages in purchase or sale of securities of the Company and/or affiliates thereof, within twelve (12) hours of the release of such Material Information pursuant to the Cabinet Order for Enforcement of the Securities and Exchange Law.

  • Releases, announcements, presentations and other information available from this page and elsewhere on this website were prepared based on information available and views held at the time of preparation and speak only as of the respective dates on which they are filed or used by SoftBank Group Corp. or the applicable group company, as the case may be. Such information is subject to change and may become out-of-date. Such information may also contain forward-looking statements which are by their nature subject to various risks and uncertainties that may cause actual results and future developments to differ materially from those expressed or implied by such statements. Please read legal notices in its entirety prior to viewing any information available on this website.