"It's not an easy path to go. But without taking on a challenge, we may end up facing bigger risks"
- Masayoshi Son, Softbank's president
Japan's mobile operator Softbank Corp confirmed to buy a stake of around 70 per cent in Sprint Nextel Corp for $20.1 billion, making this deal the largest overseas acquisition by a Japanese company. The deal has been already approved by both sides, and after completion, the remaining Sprint shares are going to be converted into a new company called "New Sprint."
"It's not an easy path to go," said Masayoshi Son, Softbank's president. "But without taking on a challenge, we may end up facing bigger risks."
"Right now it's not clear to me why this is a fantastic thing for Sprint shareholders," said independent telecoms consultant John Jackson of the Softbank announcement. "Getting access to lots of money is not a strategy in itself."
The Nikkei 225 Stock Average rose 1.21 per cent, or 105.24 points, to 8,806.55. The broader Topix Index edged higher 1.01 per cent, or 7.39 points, to 739.79.
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