Fitch Ratings has given a BBB+ rating on SoftBank's (TYO:9434) proposed US dollar senior unsecured notes, according to a Thursday release.

The notes' rating is equivalent to the Japan-based conglomerate's long-term foreign currency issuer default ratings, since they serve as the company's obligations and rank equally with similarly featured debt, Fitch said.

The company's rating factors in its independence from parent SoftBank Group (TYO:9984), strong market position in the mobile market, synergies from internet subsidiary LYC, and stable EBITDA growth.

Fitch also expects the company's EBITDA net leverage to continually improve to 2.3x by fiscal 2028 from 2.5x in fiscal 2025, although this could slow down due to investments in artificial intelligence-related projects.

The potential IPO of subsidiary PayPay has a broadly neutral to slightly positive effect on the company's credit profile, since the profit contribution is still small, Fitch said.

Notable changes in the company's independence from its investment holding parent, competitive and regulatory environment, and EBITDA net leverage could trigger future rating actions.