SoftBank Nears Deal to Acquire DigitalBridge in AI Infrastructure Push

December 29, 2025 · by Fintool Agent

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Softbank Group-0.61% is in advanced talks to acquire Digitalbridge Group+0.43%, and a deal could be announced as soon as today, according to Bloomberg News. The acquisition would give Masayoshi Son's Japanese conglomerate immediate scale in the AI infrastructure "gold rush," adding $108 billion in assets under management and 5.4 gigawatts of data center capacity to SoftBank's portfolio. 1

DigitalBridge shares surged to $18.40 in after-hours trading—a 32% premium to Friday's $13.92 close—on top of the 46% spike when Bloomberg first reported the talks on December 5. 2

The Deal

DigitalBridge currently has a market capitalization of approximately $2.5 billion and an enterprise value of roughly $3.8 billion, including debt. JPMorgan analyst Richard Choe has suggested an acquisition could value the company at $25 to $35 per share, representing a substantial premium to current levels. 3

Terms of the transaction haven't been disclosed, and negotiations remain confidential. However, the timing—coming at year-end as SoftBank races to deploy capital toward AI infrastructure—suggests both parties are motivated to close quickly.

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What SoftBank Gets

DigitalBridge, led by CEO Marc Ganzi, is one of the world's largest dedicated digital infrastructure investors. The firm manages approximately $108 billion in assets across hyperscale data centers, cell towers, fiber networks, and edge infrastructure—precisely the assets required to power the AI compute buildout. 1

The portfolio reads like a who's who of digital infrastructure:

Data Centers:

• Vantage Data Centers — Global hyperscale operator across North America, EMEA, and Asia Pacific. Just announced a $25 billion "Frontier" mega-campus in Texas. 2
• Switch — 100% renewably powered enterprise data centers with campuses in Nevada, Texas, Georgia, and Michigan. Recently expanded borrowing capacity to $10 billion. 3
• DataBank — Multi-tenant colocation across 65+ markets
• Yondr Group — Hyperscale developer with 400MW+ leased capacity and a path to 1GW+ 4

Telecommunications:

• Vertical Bridge — One of the largest private tower owners in the US
• ExteNet Systems — Small cells and distributed antenna systems
• Zayo — Fiber networks

Combined, DigitalBridge's portfolio companies have more than 5.4 gigawatts of data center capacity in operation or under construction—the kind of scale that hyperscalers and AI companies desperately need. 5

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DigitalBridge Financials

DigitalBridge operates as an asset manager, earning fees on the capital it deploys rather than owning data center assets directly on its balance sheet. Recent results show a profitable business:

The company returned to profitability in Q1 2025 and has maintained positive net income through Q3, reflecting fee growth as AUM expanded and strategic portfolio optimization.

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Why SoftBank, Why Now

This deal is part of Masayoshi Son's aggressive pivot toward AI infrastructure. In January 2025, SoftBank announced the $500 billion Stargate project alongside Openai, Oracle-1.17%, and Abu Dhabi's MGX—the largest AI infrastructure initiative ever announced. 1

SoftBank committed to deploy $100 billion "immediately" and serves as the financial backbone of Stargate, with Son as chairman of the venture. But the rollout has been slower than planned, with disagreements over site locations and funding structures. 2

Acquiring DigitalBridge solves multiple problems:

1. Instant Scale — Rather than building from scratch, SoftBank gains operational control of 5.4GW of data center capacity through established platforms like Vantage and Switch

2. Operating DNA — DigitalBridge brings 30 years of experience investing in and operating digital infrastructure, plus deep relationships with hyperscalers

3. Asset Management Platform — Beyond the portfolio companies, SoftBank acquires a $108 billion AUM business with institutional LP relationships and a fundraising machine

In September, Stargate announced five new US data center sites across Texas, New Mexico, and Ohio, bringing planned capacity to nearly 7 gigawatts and over $400 billion in investment commitments. 3

McKinsey projects AI-linked infrastructure investment could reach $6.7 trillion by 2030, a rationale frequently cited for investor interest in data center assets. 4

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SoftBank's Capital Scramble

The timing is notable. Reuters reported December 19 that SoftBank is racing to close a $22.5 billion funding commitment to OpenAI by year-end, selling stakes in Nvidia-0.55% and T-Mobile to marshal capital. Son said he "was crying" over his need to sell a $5.8 billion Nvidia stake to reallocate to AI spending. 1

The DigitalBridge acquisition adds another capital deployment—though the PE firm's relatively modest enterprise value (~$3.8 billion) is manageable compared to SoftBank's broader AI ambitions.

SoftBank previously acquired Fortress Investment Group for over $3 billion in 2017 before selling its stake in a deal completed in 2024 to Mubadala and Fortress management. The DigitalBridge deal represents a return to asset management M&A, but with a laser focus on digital infrastructure. 2

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Market Reaction

DigitalBridge shares have been on a wild ride since the acquisition talks leaked:

• Pre-leak (Dec 4): $9.72
• Post-first report (Dec 5): $14.12 (+46%, 56 million shares traded)
• Friday close (Dec 26): $13.92
• After-hours (Dec 29): $18.40 (+32% from Friday close)

The stock is up approximately 90% from pre-leak levels as investors price in a significant acquisition premium. JPMorgan's $25-35 price target suggests the market may still be underestimating the final deal price. 1

What to Watch

Timing: A deal could be announced as soon as today (Monday, December 29), according to Bloomberg's sources. Both parties appear motivated to close before year-end.

Valuation: The gap between DigitalBridge's current trading price (~$18) and JPMorgan's estimated acquisition value ($25-35) leaves room for upside if terms are announced.

Financing: How SoftBank funds the acquisition will matter, given Son's ongoing capital deployments toward Stargate and OpenAI.

Portfolio Companies: Post-acquisition, watch for accelerated capital deployment into Vantage, Switch, and DataBank as SoftBank scales infrastructure for AI demand.

Regulatory Review: Given SoftBank's Japanese ownership and the strategic nature of US data center assets, CFIUS review is possible but unlikely to derail a deal.

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The Bottom Line

SoftBank's potential acquisition of DigitalBridge represents one of the most strategically significant deals in the AI infrastructure buildout. For Masayoshi Son, it's a bet that owning the physical layer—the data centers, towers, and fiber that power AI—will be as valuable as owning the models themselves.

For investors, the premium being paid reflects the scarcity of scaled digital infrastructure assets and the insatiable demand from hyperscalers racing to train and deploy AI systems. If McKinsey's $6.7 trillion projection proves accurate, DigitalBridge's portfolio may turn out to be cheap at almost any price.

Related

• Digitalbridge Group+0.43%
• Softbank Group-0.61%
• Oracle Corporation-1.17%
• Nvidia Corporation-0.55%