Softbank Makes Weak Stock Market Debut
Tokyo, Dec. 19 (Jiji Press)--Major Japanese mobile phone carrier Softbank Corp. <9434> made a weak stock market debut on Wednesday, dashing investor hopes for a windfall from the largest initial public offering in Japan.
Shares of the Softbank Group Corp. <9984> unit fetched an initial price of 1,463 yen apiece on the Tokyo Stock Exchange's first section, 2.5 pct lower than its IPO price, and closed at an intraday low of 1,282 yen.
Expectations for Softbank's stock market debut had been high mainly among Individual investors for its popularity and high dividend yields.
The tough debut reflected investor concerns over the outlook for Softbank's earnings following its massive communications network outage on Dec. 6.
Investors are also worried about the impact of the Japanese government's decision to effectively drop Chinese telecommunications equipment maker Huawei Technologies Co. from its procurement list, market sources said. Softbank uses Huawei products.
[Copyright The Jiji Press, Ltd.]