Turnaround Plan: Banking Groups

turnaround plan: A rival said around the same time his bank is taking a cautious approach toward the company and has doubts about Son's strategy of investing big sums in highly valued startups, according to The Japan Times. The two lenders are among those approached by Soft Bank for a roughly 2.7 billion loan. After the costly rescue of office-sharing startup WeWork and a series of other high-profile setbacks for Son, senior executives at two of Japan's biggest banking groups have said privately they've grown less comfortable with the eccentric billionaire's management of Soft Bank Group Corp.'s 100 billion Vision Fund. ; One executive, speaking in mid-November, said his firm wants to see a convincing turnaround plan for WeWork before lending more money to Soft Bank. While neither of the bankers, who asked not to be named, signaled a dramatic reduction in ties with Soft Bank, their misgivings highlight how perceptions of Son are changing even among his most reliable supporters. They also have extensive investment banking relationships with Son, advising him on deals and helping Soft Bank raise more money from Japan's corporate bond market than any other issuer. Japanese banks have helped finance Son's ventures for almost four decades and are currently sitting on at least 15 billion of loans to Soft Bank and the Vision Fund. (news.financializer.com). As reported in the news.