By Kosaku Narioka
SoftBank Group Corp. said Monday that it plans to buy back up to 1 trillion yen ($8.82 billion) of its own shares to boost its stock, which it views as significantly undervalued.
The Japanese investment and technology company earlier reported its first quarterly net loss in a year and a half after China’s stricter regulations on technology companies caused a sharp selloff in stocks that weighed on SoftBank’s portfolio.
SoftBank posted a net loss of 397.94 billion yen ($3.51 billion) for the quarter ended September amid valuation losses from investments in Chinese ride-hailing company Didi Global Inc. as well as South Korean e-commerce company Coupang Inc. That compared with a net profit of Y627.50 billion a year earlier.
SoftBank said that under the one-year buyback program, which starts Tuesday, it could repurchase up to 14.6% of its outstanding shares.
Write to Kosaku Narioka at firstname.lastname@example.org
This article was originally published by Marketwatch.com. Read the original article here.