SoftBank shares continued to slide Thursday after the company announced its massive WeWork bailout.
Shares were down another 2.8% in Tokyo, extending earlier losses. The stock closed down 2.5% Wednesday.
SoftBank will pump $5 billion into The We Company and accelerate a $1.5 billion equity investment originally due to the company next year. SoftBank, already WeWork’s largest investor, is also offering to buy up to $3 billion worth of stock from existing investors and shareholders. The Japanese tech company will take ownership of about 80% of WeWork.
Asian stocks were otherwise mixed Thursday, with shares in South Korea edging lower after the country reported weak economic growth.
South Korea’s Kospi also swung between gains and losses. It dipped as much as 0.6%, but then reversed losses and edged up 0.2%.
The South Korean economy grew by 0.4% in the third quarter compared to the previous quarter, according to estimates released by the Bank of Korea on Thursday. That’s less than the 0.5% gain that analysts who were polled by Reuters expected.
Hyundai reported that net profit for the third quarter rose 59% to 427 billion won ($364 million). Still, that was below analyst forecasts, according to Refinitiv data. The stock gained 0.8% in Seoul.
Global sales volumes slowed in the third quarter, mainly dragged by India, China and South Korea. But the US and European markets recorded growth, helping offset the weakness.
SK Hynix, a South Korean chipmaker that is one of the world’s largest, reported a net profit of 495 billion Korean won ($423 million) in the third quarter, an 89% drop compared to a year earlier. But that profit beat analyst estimates, according to Refinitiv data. The company’s stock advanced 1.8% in Seoul.