Press Releases 2026
Notice Concerning Business Succession
to a Joint Venture Company
with Sony Network Communications Inc.
through Company Split (Simplified Absorption-type Split)
January 30, 2026
SoftBank Corp.
SoftBank Corp. (hereinafter the "Company") and Sony Network Communications Inc. (hereinafter "SNC") hereby announce that, as of today, the two companies have decided to establish a joint venture company (hereinafter the "Joint Venture") to be jointly owned by the two companies, and to have the Joint Venture succeed to the Company's business relating to the construction, management, and operation of optical line terminals* and subscriber lines (hereinafter the "Business") through an absorption-type split (hereinafter the "Split"), and have entered into a definitive agreement.
Note that since the Split is expected to result in a decrease in the Company's total assets of less than 10% of its net assets as of the end of the most recent fiscal year, and a decrease in revenue of less than 3% of the Company's revenue for the most recent fiscal year, certain disclosure items and details have been omitted.
- [Note]
-
- *An optical line terminal ("OLT") is terminal equipment installed at a telecommunications carrier's central office to provide optical fiber services.
- *
1. Purpose of the Split
The Company and SNC provide a variety of optical fiber services used by a wide range of users. The Company and SNC have confirmed that they will proceed with the operation of the Joint Venture based on a spirit of equality. Under a governance structure in which both companies appoint an equal number of directors, and with the aim of optimizing facility utilization, streamlining operations, and further enhancing network quality through joint operations, the Company and SNC have decided to consolidate the functions related to the construction, management, and operation of the OLTs owned by both companies into the Joint Venture. By maximizing synergies between the two companies, we aim to enhance the value provided to users.
2. Outline of the Split
(1) Schedule of the Split
| (1) Date of establishment of the Joint Venture* | February 5, 2026 (planned) |
|---|---|
| (2) Date of signing of the Split agreement | February 10, 2026 (planned) |
| (3) Effective date of the Split | June 1, 2026 (planned) |
As the Split falls under a simplified absorption-type split as prescribed in Article 784, Paragraph 2 of the Companies Act, the Split agreement will be approved without convening a General Meeting of Shareholders.
- [Note]
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- *The Joint Venture will be a wholly owned subsidiary of the Company at the time of its establishment and is subsequently scheduled to be converted into a joint venture.
- *
(2) Method of the Split
The Split will be an absorption-type split, with the Company as the splitting company and the Joint Venture as the successor company.
(3) Details of allotment related to the Split
The Company is expected to receive an allotment of 292,626 shares of common stock of the Joint Venture upon the Split.
(4) Handling of stock acquisition rights and bonds with stock acquisition rights upon the Split
No applicable items.
(5) Increase or decrease of common stock due to the Split
There will be no increase or decrease in the Company's common stock.
(6) Rights and obligations to be succeeded by the successor company (the Joint Venture) due to the Split
The Joint Venture will assume the assets and other rights and obligations such as contractual positions related to the Business prescribed in the Split agreement on the effective date of the Split.
(7) Prospect of fulfillment of obligations due to the Split
The Company has determined that there will be no problems with respect to the prospects for the fulfillment of obligations that the Company must bear.
3. Overview of the companies involved in the Split
(Successor company is described as of its date of establishment (planned))
| Splitting company | Successor company | |||
|---|---|---|---|---|
| (1) Company name | SoftBank Corp. | Takeshiba Preparation No.7 Co., Ltd. | ||
| (2) Address | 1-7-1 Kaigan, Minato-ku, Tokyo | 1-7-1 Kaigan, Minato-ku, Tokyo | ||
| (3) Name and title of representative | Junichi Miyakawa, President & CEO | Tomohiro Sekiwa, Representative Director | ||
| (4) Description of business | Provision of mobile communications services, sale of mobile devices, provision of fixed-line telecommunications and ISP services | Telecommunications business, construction and contracting of telecommunications facilities and related equipment, ISP business, and all related businesses | ||
| (5) Common stock | JPY 239,692 million (As of September 30, 2025) |
JPY 1 million | ||
| (6) Established | December 9, 1986 | February 5, 2026 (planned) | ||
| (7) Number of shares issued | 47,908,265,700 shares (common shares) 30,000,000 shares (Series 1 Bond-Type Class Shares) 25,000,000 shares (Series 2 Bond-Type Class Shares) (As of September 30, 2025) |
40 shares | ||
| (8) Fiscal year end | March 31 | March 31 | ||
| (9) Major shareholders and shareholding ratios *1 | SoftBank Group Japan Corporation 40.07% The Master Trust Bank of Japan, Ltd. (Trust Account) 10.08% Custody Bank of Japan, Ltd. (Trust Account) 3.43% STATE STREET BANK WEST CLIENT-TREATY 505234 1.39% SMBC Nikko Securities Inc. 1.35% (As of September 30, 2025) |
SoftBank Corp. 100% | ||
| (10) Financial position and results of operations for the most recent fiscal year*2 | Fiscal year ended March 31, 2025 (Consolidated: IFRS) |
|||
| Equity attributable to owners of the Company | JPY 2,743,630 million | |||
| Total assets | JPY 16,102,195 million | |||
| Equity per share attributable to owners of the Company | JPY 50.96 | |||
| Revenue | JPY 6,544,349 million | |||
| Operating income | JPY 989,016 million | |||
| Profit before income taxes | JPY 880,057 million | |||
| Net income attributable to owners of the Company | JPY 526,133 million | |||
| Basic earnings per share | JPY 10.99 | |||
- [Notes]
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- *1"Major shareholders and shareholding ratios" of the Company are indicated based on the "Information Concerning Major Shareholders" stated in the Semiannual Securities Report for the 40th Fiscal Year filed by the Company on November 11, 2025.
- *2As the Joint Venture is scheduled to be established on February 5, 2026, there are no financial position or results of operations to be disclosed.
- *1
4. Overview of the business to be succeeded due to the Split
(1) Nature of the business to be succeeded due to the Split
Business related to the construction, management, and operation of OLTs and subscriber lines.
(2) Results of operations of the department to be succeeded due to the Split (Fiscal year ended March 31, 2025)
Since the business to be succeeded relates to the construction, management, and operation of certain equipment constituting optical fiber services, it does not record revenue or other figures as an independent business.
(3) Assets and liabilities to be split (as of October 31, 2025)
| Assets | Liabilities | ||
|---|---|---|---|
| Item | Value | Item | Value |
| Current assets | JPY 2 million | Current liabilities | Not applicable |
| Non-current assets | JPY 14,562 million | Non-current liabilities | Not applicable |
| Total assets | JPY 14,564 million | Total liabilities | Not applicable |
The asset and liability items and respective monetary values to be succeeded are calculated based on the balance sheet statement as of October 31, 2025. Therefore, the actual value to be succeeded will reflect fluctuations in the above values until the business day prior to the effective date of the Split.
5. Status after the Split
There will be no changes in the company name, address, name and title of representative, description of business, common stock, or fiscal year end of the Company.
6. Overview of the Counterparty to the Establishment of the Joint Venture
| (1) Company name | Sony Network Communications Inc. |
|---|---|
| (2) Address | 1-7-1 Konan, Minato-ku, Tokyo |
| (3) Name and title of representative | Noriyoshi Nakagawa, President and Representative Director |
| (4) Description of business | Communication service business, IoT business, AI business, and solution service business |
| (5) Common stock | JPY 7,969 million (As of March 31, 2025) |
| (6) Established | November 1, 1995 |
| (7) Major shareholders and shareholding ratios | Sony Corporation 100% |
7. Forecasts
The impact of this matter on the Company's consolidated financial results for the fiscal year ending March 31, 2026 is expected to be immaterial. If any matters arise that need to be disclosed, they will be promptly announced.
(Reference) Forecasts of Consolidated Financial Results for the Fiscal Year Ending March 31, 2026 (announced on May 8, 2025) and Consolidated Financial Results for the Previous Fiscal Year
| Revenue | Operating income | Net income attributable to owners of the Company | Basic earnings per share | |
|---|---|---|---|---|
| Forecasts for the consolidated results for the fiscal year ending March 31, 2026 | JPY 6,700,000 million | JPY 1,000,000 million | JPY 540,000 million | JPY 11.22 |
| Consolidated operating results for the fiscal year ended March 31, 2025 | JPY 6,544,349 million | JPY 989,016 million | JPY 526,133 million | JPY 10.99 |
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