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Japan’s SoftBank tumbles into losses over costly investments

TOKYO (AP) — Japanese technology company SoftBank Group Corp. has tumbled into losses for the fiscal second quarter over money-losing investments, including a bailout for office-space sharing startup WeWork.

The Tokyo-based company reported Wednesday a July-September loss of 700 billion yen ($6.4 billion), down from a 526 billion yen profit the same period a year ago.

SoftBank said it expects a special loss on the value of its shares of subsidiaries and associates of nearly 498 billion yen ($4.6 billion) for its non-consolidated financial statement for the fiscal year ending March 2020.

Last month, SoftBank announced a bailout for WeWork, including $5 billion in new financing, a tender offer of up to $3 billion for existing WeWork shareholders, and an acceleration of an earlier promise of $1.5 billion in funding.

Associated Press

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