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Elliott rebuilds stake in SoftBank and pushes for buybacks

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Elliott rebuilds stake in SoftBank and pushes for buybacks

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Elliott Management has rebuilt a substantial stake in SoftBank and is pushing the Japanese tech conglomerate founded by Masayoshi Son to launch a $15bn share buyback.

The US-based activist fund’s position is worth more than $2bn and it has engaged directly with SoftBank’s senior management over the past two to three months, according to people familiar with the matter.

The fund has swooped on SoftBank at a time when the gap between the combined value of the company’s assets and its market valuation has never been wider. After a self-declared period in “defence mode”, SoftBank has a strong balance sheet and billions of cash on hand, which its founder wants to use in pursuit of artificial intelligence deals.

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Son has built his current growth strategy around a roughly 90 per cent stake in UK chip designer Arm, whose surging stock market price has lifted SoftBank’s net asset value to a record $180bn. While the conglomerate’s shares have risen by more than 50 per cent so far this year, its current market capitalisation stands at around $90bn. Its shares jumped as much as 5.5 per cent on the news of Elliott’s stakebuilding, in late trading in Tokyo on Wednesday.

According to people familiar with the demands being made by Elliott, the activist fund believes that a $15bn share buyback would deliver an immediate boost to the share price and act as a sign of Son’s confidence in his strategy.

Elliott’s investment is the second time it has targeted Son’s company and is the fund’s latest strike in the Japanese stock market. It previously took a position in Toshiba and holds a large stake in Dai Nippon Printing, the trading house Sumitomo Corporation and the country’s largest listed real estate developer, Mitsui Fudosan.

The firm’s last investment in SoftBank involved building a stake of about $2.5bn in early 2020, while pressing for a $20bn share buyback and governance changes. It had a similar focus on the substantial discount between the value of SoftBank’s asset portfolio and its market capitalisation.

At the time, SoftBank’s investments had a different shape — with a 25 per cent stake in ecommerce giant Alibaba and a heavy focus on high-risk private market investments made by its $100bn Vision Fund. 

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Today, SoftBank is built around Arm, with its two Vision Funds increasingly focused on returning cash and a greater proportion of investments publicly listed.

The group’s loan-to-value ratio — net debt as a proportion of the value of its holdings — has also dropped to 8.4 per cent, a level that group chief financial officer Yoshimitsu Goto described in May as “maybe too low to be honest, too safe” and compares with over 20 per cent at the end of 2021.

Elliott had almost completely sold down its stake in SoftBank by early 2022, after it lost confidence in Son’s ability to close the valuation gap, according to people familiar with the situation at that time. 

However in 2020, SoftBank did embark on a ¥4.5tn — then worth $41bn — plan to dispose of assets and launched a ¥2.5tn share buyback programme while Elliott held its stake.

The firm’s position is being led by London-based Elliott senior portfolio manager Nabeel Bhanji, who was behind the previous Elliott stake building and has been instrumental in the group’s investments in Tokyo, including at Toshiba where he joined the board.

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Elliott and SoftBank declined to comment.

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Senate Ethics Committee dismisses complaint against Sen. Ruben Gallego

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Senate Ethics Committee dismisses complaint against Sen. Ruben Gallego

Sen. Ruben Gallego, D-Ariz., walks out of the Senate chamber on Oct. 1, 2025.

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The Senate Ethics Committee has dismissed a complaint brought against Sen. Ruben Gallego involving allegations of campaign finance violations and potential sexual misconduct.

The allegations against the Arizona Democrat were brought to the committee in April by a fellow member of Congress, Rep. Anna Paulina Luna, R-Fla. But in a letter to Gallego dated June 26, the committee said it had uncovered no wrongdoing.

“Based on the investigation of the Committee, the Committee did not find evidence that your actions violated Federal law, Senate rules, or related standards of conduct,” the panel wrote.

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The panel also said it appreciated Gallego’s “full cooperation” throughout the investigation.

Gallego welcomed the findings, saying in a statement that the dismissal “reaffirms what I have said about these accusations from the beginning: they were right-wing conspiracies peddled by far-right activists like Anna Paulina Luna, the White House, and their allies.”

“I look forward to an apology from Rep. Luna for weaponizing the ethics process while refusing to investigate historic corruption that’s making life harder for families,” he continued.

Whispers about potential misconduct by Gallego began to circulate in April following the resignation of Rep. Eric Swalwell, D-Calif. Swalwell stepped down in response to a swell of sexual assault and misconduct allegations. NPR has not independently verified the allegations against Swalwell, but he has adamantly denied them.

Swalwell and Gallego were close friends, and during Swalwell’s short-lived 2020 presidential campaign, it was Gallego who served as campaign chair.

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In the immediate aftermath of Swalwell’s resignation, Gallego denied knowledge of any alleged history of sexual misconduct, though he acknowledged to reporters that their close friendship may have made it difficult for him to accept rumors about Swalwell and his behavior toward women.

“My friendship with him, our family’s friendship together with him, clouded my judgment, and I was wrong — I deeply, deeply regret that,” Gallego said.

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Native Americans celebrate victory at the Battle of Little Bighorn, 150 years later

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Native Americans celebrate victory at the Battle of Little Bighorn, 150 years later

Horse mounted riders circle atop a hill at the Battle of Little Bighorn National Monument, near Last Stand Hill, on June 25.

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CROW AGENCY, Mont. — Under the expansive Montana sky, hundreds of members and descendants of 19 tribal nations gather at one of America’s most famous battlefields. They’re here to watch as Native American riders on horseback charge onto the same land their ancestors did 150 years ago when they defeated the U.S. Army’s 7th Cavalry under the command of Lt. Col. George Armstrong Custer.

The riders race across the dry landscape — kicking up clouds of dust before circling at the top of a hill at Little Bighorn Battlefield National Monument. Some of them are wearing headdresses and regalia, others are wearing tank tops and T-shirts. Many of them are carrying their tribal flags in a show of unity — the same unity that made possible their swift victory on June 25, 1876.

“It was so important then, 150 years ago. … It’s important today still,” said Gaby Strong, who is Sisseton-Wahpeton and Mdewakanton. “Our victories are still possible.”

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Custer’s goal was to force Native Americans onto reservations. After the 1874 discovery of gold in the Black Hills, Indigenous peoples living off reservations were directed to report to their U.S. field offices, called Indian Agencies, or be deemed hostile.

Native American leaders, including Crazy Horse and Sitting Bull, organized villages and tribes together in a resistance effort.

Several battles broke out in what is now Montana and South Dakota as military forces attempted to push remaining groups onto reservations.

“Crazy Horse, he went from band to band, leader to leader, to tell them about this idea of our relatives coming together for a much greater cause than themselves,” said Christopher Eagle Bear. He is Sicunga Lakota from the Rosebud Sioux Tribe.

In 1876, Custer was tracking a nomadic village of various peoples, including the Oceti Sakowin (Sioux), Cheyenne and Arapaho. Custer was tracking that camp with the help of about three dozen Arikara and Crow scouts. Scouting for the U.S. government was a common practice among many tribes.

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Custer divided his forces of around 700 men into three columns, hoping to surround the village.

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Can the so-called nanobubbler save the Reflecting Pool? | CNN Politics

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Can the so-called nanobubbler save the Reflecting Pool? | CNN Politics

The $1.7 million “ozone nanobubbler” being used in an effort to make the Lincoln Memorial Reflecting Pool water crystal clear has a unique ability to shoot 500 million microscopic bubbles into every teaspoon of water. The injected oxygen is supposed to oxidize — or, unscientifically speaking, smash through — algae, bacteria and other chemicals.

The Trump administration has touted the technology as “state of the art.” At the onset of the project, the administration dispatched a small company based in Brookfield, Ohio — one of the only in the country with this type of technology — to lead the high-profile, high-stakes gambit to see whether the technology could work on the 6.5 million-gallon landmark that for decades has evaded cleanliness. Only five years old, the technology has never been formally used or researched on a pool.

As questions mount over President Donald Trump’s broader renovation project — which has been overcome by other problems, including a peeling bottom and allegations of vandalism — Greenwater Services, the company in charge of the pool’s water quality, has been thrust into the national spotlight. The company has recently taken on a crisis communications firm to help manage the unfamiliar political waters while it attempts to focus on the pool’s actual water.

Chas Antinone, president and chief operating officer, had a one-word answer for CNN when asked whether the company’s part of the project had gone according to plan: “Yes.”

“I’ve got no political affiliation in this thing whatsoever either way. And I don’t really care about that part,” Antinone said. “Our job was to come here and bring a technology that we think can keep the Reflecting Pool looking clean and reflect the way it is supposed to.”

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A review of campaign finance reports, both federal and in Ohio, showed no contributions made by Antinone.

But the company and its no-bid contract have been dragged into a political morass as algae returned for a time to the pool, Trump campaign donations by the owner have come to light, and the pool has become a symbol of America’s divide and what some see as the president’s failures.

And questions remain about whether the new technology will work long term, with no timeline set by the Department of Interior for the more extensive repairs to decades-old pipes that are necessary to keep the technology running.

Joe Trusty, who is the editor of Pool Magazine and has a background in pool service and construction, said the nanobubbler has been “a tremendous buzzword around our industry.”

“It’s not surprising to me that they were brought into the conversation, nor is it surprising to me that they implemented it,” he said. “Whether or not it is going to be able to be effective in as large a body of water and as shallow a body of water such as the Reflecting Pool remains to be seen.”

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Greenwater Services walked CNN through a detailed timeline of its work with the Trump administration. That accounting revealed that some accommodations were needed to meet the president’s demands to have the pool refurbished by the July Fourth celebrations marking America’s 250th birthday.

From the get-go, the company had to be nimble.

The permanent ozone nannobubbler unit had not yet been fully fabricated in Ohio for the job, and yet the pool was being refilled with water. So, the company brought in temporary equipment to get the system running before the permanent structure was finished.

Four stand-alone mobile machines, which could be seen with the naked eye, were put in the Reflecting Pool on June 6, two days after the pool was refilled with water. The units, which work differently from the permanent ones, made small white plumes of bubbles as nozzles shot nanobubbles into the water. The company said the four machines were operating at the same amount of power that the permanent system would have had.

At that point the water was clear; everything was working well, a spokesperson said.

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However, on June 12, a source close to the project said the company was asked by the National Park Service to remove the temporary structures. They were not given a reason. The four units were taken offline and off-site by the company. The algae bloom appeared, according to a person close to the project and video images of the pool captured that afternoon by a CNN camera.

Greenwater Services would not comment on the time gap when the temporary systems were removed. The Interior Department and White House did not respond to CNN’s questions about why the call was made to take the machines out of the water. The New York Times first reported on the removal of the temporary systems.

During that 24-hour period, the Trump administration hosted a high-profile Ultimate Fighting Championship photo op on the National Mall.

The next day, the company reinstalled the temporary machines.

As the four temporary units continued to run, the permanent unit arrived on June 16 and installation began. On June 25, the temporary units were removed, and the permanent system began operating on its own, according to the company.

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“What I think everyone learned is that when the system is allowed to run, it cleans the water and keeps it clean,” Erin Kramer, a spokesperson for the company, told CNN.

The permanent ozone nanobubbler technology, unlike the temporary units, is not in the Reflecting Pool itself. The technology is instead housed in a small pump house, in the US Park Police stables just off the Reflecting Pool.

CNN exclusively obtained photos of last week’s installation of the technology in the pump house with the National Park Service, showing the high-tech system that is typically kept behind closed doors.

The water, which the Interior Department confirmed is pulled from municipal water, comes in and is filtered again. This is when Greenwater Service’s technology steps in.

An oxygen concentrator pulls air in and then sends an electrical current that breaks up that O2 into pure oxygen molecules to form “ozone.” That ozone is then injected into the master water pipe, through a series of patented nozzles with pressure.

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That master pipe splits into numerous preexisting smaller pipes that run around the exterior of the Reflecting Pool, providing inputs for water to enter.

The Interior Department has previously noted the need to repair and potentially replace thousands of feet of pipes that have been in disrepair for several years.

The ozone nanobubbler relies on at least some of the pipes being viable.

Antinone said a number of the pipes are viable but was unsure how many are up and running. It is his understanding that the National Park Service intends to test to see which ones are working, he said.

The Interior Department has not responded to multiple questions about the status of the pipes and the plan for broader repair.

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Antinone said the piping system would be one of the first things to look at should the algae return.

The ozone nanobubbler technology is very new, but industry experts say it is promising.

Heather Raymond, the water quality director for the Ohio State University College of Food, Agricultural, and Environmental Sciences, has tested and researched Greenwater Service’s technology for years.

One of the key factors that make it so powerful, Raymond said, is the ability for the ozone in the powerful algae-busting bubbles to stay in the water, reacting with the water, potentially for days.

Previous versions of the technology injected the bubbles into water, where they would then rise to the surface, losing power and effectiveness.

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Raymond said the new technology carries a powerful “one-two punch” because it creates a microsystem for battling bacteria that is more biologically active.

“In addition to directly oxidizing the chemicals, they promote the growth of these bacteria that eat the chemicals.”

Raymond said her studies show an effectiveness rate in the 90th percentile for the ozone nanobubbler, recognizing it as both clean and green.

Raymond was not involved in the Reflecting Pool project and said her studies have not been funded by Greenwater Services.

The National Oceanic and Atmospheric Administration has done independent research on the technology. In research published in 2020, the federal agency said the technology effectively remediates harmful algal blooms.

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Greenwater Services has never used its technology on a pool, only for projects in waterways, such as the Tijuana River, Ohio’s Lake Newport and Florida’s Port Mayaca.

Raymond said, ideally, the nanobubbler technology could work best by getting ahead of any algae, when installed during cooler months, not during the summer when the conditions for algae — heat and sunlight — are prime.

“If you had all the time in the world, you should launch this fall or winter,” she said.

But the company was under a tight deadline to make the pool clear by July.

Greenwater Services attempted to portray the timeline, and the warm, muggy DC weather they were up against as a positive.

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“If we had put this in here and there’s no algae, we wouldn’t have learned anything,” Antinone said. “The whole goal here is to make the process better, so every time we do something, we should learn a little bit.”

Like Virginia-based Atlantic Industrial Coatings, the company enlisted to resurface the pool bottom with a blue material, Greenwater Services was allowed to bypass a competitive-bidding process that is typically done for government contracts. Greenwater was awarded a no-bid contract in April.

The company’s co-owner, J.J. Cafaro, is a longtime supporter and donor to Trump and lives near his Mar-a-Lago club in South Florida. Cafaro pleaded guilty in 2001 to conspiracy to bribe Rep. James Traficant Jr., an Ohio Democrat.

“The White House was not involved in the selection process for any contract and did not weigh in on the companies selected. Full stop,” an Interior Department spokesperson said in a statement. “These companies were selected because they had the expertise, workforce and materials needed to complete such a huge project in the timeline required to celebrate our nation’s 250th.”

The White House said in a statement that it “did not play any role in the selection process.”

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Greenwater Services has sought to distance Cafaro from its daily operations.

“He is an Ohio-based businessman who invested in the Ohio-based company after the owners showed him research done on local Ohio bodies of water,” a spokesperson said. “He has no involvement in the day-to-day operations.”

CNN reached out to Cafaro but did not receive an immediate response.

Earlier this month, Cafaro defended his company’s technology to a local Ohio newspaper, the Vindicator, saying that he believes the system is working and that much of the public scrutiny over the Reflecting Pool is from “people who don’t seem to like Trump.”

Cafaro told the newspaper he would “never” talk to the president about his company’s work with the Reflecting Pool.

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“You don’t do things to put friends in awkward positions,” he was quoted as saying.

Employees of Greenwater Solutions have been at the pool on a near daily basis since early June. They anticipate remaining through the July Fourth holiday, at least. The company tests the water daily, Antinone said.

The next step is to give time to see how the permanent machine operates on its own.

CNN spoke to the company on Friday, just one day after it went online without the support of the temporary units.

“I will tell you, the water today continues to look good, and we’ll continue to test it and see how that works,” Antinone said.

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If algae and the green-hued water returns, Antinone said the company has the capability to bring in more units to the pump house to amp up the system. Additionally, he suggested there are many other options for mitigation. Some spot treatments — potentially with temporary machines — could also be used, he said.

“We think right now, we treated it — it looks good,” he said Friday while adding, “but you know, it’s going to be 100 degrees next week.”

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