Press Releases 2019

Share Split and Subsequent Partial Amendment
to Articles of Incorporation, and Dividend Forecast for
Fiscal Year Ending March 2020 (dividend increase)

May 9, 2019
SoftBank Group Corp.

SoftBank Group Corp. (“SBG”) announces that on May 9, 2019, its Board of Directors approved a share split and partial amendment to the Articles of Incorporation, as well as dividend forecast for the fiscal year ending March 2020. As a part of the enhancement of shareholder returns, the Board of Directors also approved the abolition of the existing “benefit program” currently offered for shareholders, of which the last program will be provided for shareholders as of the end of March 2019.

1. Enhancement of shareholder returns

SBG has set the basic policy as achieving the balance of investment for sustainable growth and shareholder returns while maintaining a sound financial position. To further enhance shareholder returns and expand the investor base, SBG determined to split its ordinary shares at a ratio of two for one (“the Share Split”) and forecasts the annual dividend for the fiscal year ending March 2020 after the Share Split to be JPY 44.00 per share, which is the same amount as the prior year. This effectively doubles the annual dividend amount from the previous fiscal year.

In addition, as a part of the enhancement of shareholder returns and also as a result of repeated examination of fair return of profits to shareholders, SBG will abolish the “benefit program” currently offered for shareholders. The last program will be provided for shareholders registered or recorded in the shareholder registry as of the end of March 2019.

2. Share Split

  • (1)
    Purpose

    SBG aims to create an environment in which investors can more easily invest in its stock and thus to further expand its investor base, by lowering the amount per unit of investment of its common stock.

  • (2)
    Outline
    • a.
      Method

      With a record date of June 27, 2019, SBG's common stock held by shareholders listed or recorded by the end of the day will be split at a ratio of two-for-one.

    • b.
      Number of shares to be increased upon the Share Split
      Number of shares issued and outstanding before the Share Split: 1,100,660,365
      Increase in the number of shares upon the Share Split: 1,100,660,365
      Number of shares issued and outstanding following the Share Split: 2,201,320,730
      Number of authorized shares after the Share Split: 7,200,000,000
    • c.
      Schedule
      Announcement of record date May 9, 2019
      Record date June 27, 2019
      Effective date June 28, 2019
  • (3)
    Change in the amount of common stock

    No changes are expected to occur due to the Share Split in the amount of common stock presented in SBG's consolidated financial statements.

  • (4)
    Adjustments to exercise prices of Stock Acquisition Rights

    In conjunction with the Share Split, commencing on June 28, 2019 and onwards, the exercise prices of shares to be issued or transferred upon exercise of stock acquisition rights will be adjusted as follows.

    Exercise price
    Before adjustment After adjustment
    Stock Acquisition Rights issued in July 2016 JPY 6,159 JPY 3,080
    Stock Acquisition Rights issued in February 2017 JPY 8,891 JPY 4,446
    Stock Acquisition Rights issued in July 2017 JPY 9,582 JPY 4,791
    Stock Acquisition Rights issued in August 2018 JPY 1 JPY 1

3. Partial Amendment to Articles of Incorporation Subsequent to the Share Split

  • (1)
    Reasons for the amendment

    Subsequent to the Share Split, the number of authorized shares described in Article 5 in the Articles of Incorporation of SBG will be amended on June 28, 2019 when the Share Split becomes effective, as provided for in Article 184 (2) of the Companies Act of Japan.

  • (2)
    Details of the amendment
    *Changes are bold.
    Before the amendment After the amendment
    (Total number of shares authorized to be issued)
    Article 5
    The total number of shares authorized to be issued by SBG shall be three billion and six hundred million (3,600,000,000) shares.
    (Total number of shares authorized to be issued)
    Article 5
    The total number of shares authorized to be issued by SBG shall be seven billion and two hundred million (7,200,000,000) shares.
  • (3)
    Schedule

    Effective date of the amendment: June 28, 2019

4. Divided Forecast for the Fiscal Year Ending March 2020

SBG determined that the company is ready to increase the return of profits to shareholders while maintaining a balance between the sound financial position and investments for growth. SBG expects to effectively double the annual dividend by increasing JPY 44.00 per share from the previous fiscal year, by maintaining the annual dividend per share at JPY 44.00 for the fiscal year ending March 2020 after the Share Split. The total cash dividend for the fiscal year ending March 2020 is forecasted to be JPY 92.7 billion, effectively doubling from the planned cash dividend of JPY 47.2 billion for the fiscal year ended March 2019.

Reference: Breakdown of annual dividend

Dividend per share Cash dividend
Interim Year-end Total Total
Forecast for the fiscal year ending March 2020
(after the Share Split)
JPY 22.00 JPY 22.00 JPY 44.00 JPY 92.7 billion*
Actual and plan for the fiscal year ended March 2019 JPY 22.00 JPY 22.00
(planned)
JPY 44.00
(planned)
JPY 47.2 billion
(planned)
Actual for the fiscal year ended March 2018 JPY 22.00 JPY 22.00 JPY 44.00 JPY 24.0 billion
[Note]
  • *
    An estimate amount made based on the total number of shares issued (excluding treasury stock) as of March 31, 2019
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