Trump claims $50 billion SoftBank investment due to his election win

Billionaire business tycoon Masayoshi Son said on Tuesday he would invest $50 billion in the United States and create 50,000 new jobs, a move President-elect Donald Trump claimed was a direct result of his election win.

The investment revived speculation that U.S. telecoms giant Sprint Corp, 82-percent-owned by Son's SoftBank Group Corp, might rekindle merger talks with T-Mobile US Incthat died under pressure from U.S. regulators.

The lack of details on investment timetable also prompted doubts whether the promise of money and jobs will be met, as Sprint is slashing staff numbers to cut more than $2 billion in costs this year.

Trump's moves since the election to engage with individual companies, while turning his back on broader, years-in-the-works trade deals, show that the President-elect is leaning on the deal-making skills he honed in the boardroom.

Trump campaigned against the over-regulation of business and is expected to be more open to mergers than President Barack Obama.

The investment, announced jointly by Trump and Son in the lobby of Trump Tower in Manhattan, would come from the $100 billion investment fund the head of Softbank is setting up with Saudi Arabia’s sovereign-wealth fund and other potential partners, according to the Wall Street Journal.

"Ladies and gentlemen, this is Masa from SoftBank of Japan, and he’s just agreed to invest $50 billion in the United States and 50,000 jobs," Trump said.

"He would never do this had we (Trump) not won the election!" Trump later Tweeted.

Son, who wore a red tie and red sweater under his suit jacket, told reporters his company, a $68 billion telecommunications and tech investment behemoth, would create jobs by investing in startup companies in the United States.

"We are going to invest $50 billion into the U.S. and commit to create 50,000 new jobs," said Son, adding that he expected a lot of "deregulation" under a Trump administration.

Trump and Son did not give a timeline for the investment. Trump's four-year term will begin after his Jan. 20 inauguration.

(REUTERS)