Chinese investors lead WeWork’s new $430M funding round

Miami /
Mar.March 10, 2016 12:45 PM

From the New York website:

UPDATED, 11:08 p.m., March 9:  Co-working space giant WeWork has raised $430 million in its latest funding round, giving the company a valuation of $16 billion, according to the Wall Street Journal.

Beijing-based private-equity firm Hony Capital Ltd. and Legend Holdings, its parent company, led the financing round, WeWork CEO Adam Neumann said in a blog post Wednesday.

“Not only does WeWork have one of the largest addressable markets I have ever seen, but the quality of its execution and fit for the Chinese culture is unparalleled,” Hony Capital CEO John Zhao said in the same post. “Our investment in WeWork is both strategic and obvious.”

As part of the round, WeWork[TRData] has authorized the sale of up to $780 million in two series of convertible preferred shares, both of which are priced at just over $50.19 a piece, Fortune reported.

That share price represents a nearly 53 percent jump from the company’s previous sale of convertible preferred stock last summer, at which time the company was valued at $10 billion.

Last month, it emerged that WeWork’s valuation had jumped to $15 billion after Fidelity Investments reported that its shares in the company had appreciated significantly over the fourth quarter of 2015.

If WeWork were a publicly-traded company, the $16 billion valuation would make it the third-most-valuable publicly traded office landlord, the Journal noted. Boston Properties chair Mort Zuckerman happens to be a major investor in WeWork. [Fortune and WSJ]– Rey Mashayekhi and Hiten Samtani 

Correction: Due to conflicting news reports, a previous version of this story incorrectly stated WeWork’s valuation. It is $16 billion. 


Related Articles

arrow_forward_ios
 Adam Neumann (Getty, Bal Harbour Florida)
Ex-WeWork CEO Adam Neumann inks $44M deal for Bal Harbour properties
Ex-WeWork CEO Adam Neumann inks $44M deal for Bal Harbour properties
Fuse Group Investment CEO Eyal Peretz and attorney Michael Ehrenstein (Fuse, Ehrenstein Sager, Twitter via GUT Miami)
Fuse Group acquires Security Building in downtown Miami, plans to sue WeWork for alleged lease breach
Fuse Group acquires Security Building in downtown Miami, plans to sue WeWork for alleged lease breach
117 Northeast First Avenue (Getty, Gut Miami via Twitter)
Lender sues owners of downtown Miami WeWork building over allegedly unpaid loan
Lender sues owners of downtown Miami WeWork building over allegedly unpaid loan
Laura Kozelouzek, CEO of Quest Workspaces, and a Quest classroom
Office is out, school is in: Co-working operators try to lure students into workspace
Office is out, school is in: Co-working operators try to lure students into workspace
5212 North Bay Road in Miami Beach and Marcelo Claure (Getty)
SoftBank’s Marcelo Claure pays $11M for North Bay Road teardown
SoftBank’s Marcelo Claure pays $11M for North Bay Road teardown
WeWork Lincoln Road with Sandeep Mathrani (Google Maps, WeWork)
WeWork’s Lincoln Road landlord seeks $20M in unpaid rent
WeWork’s Lincoln Road landlord seeks $20M in unpaid rent
WeWork Lenox Avenue, WeWork Lincoln Road and CEO Sandeep Mathrani (Lenox location by Katherine Kallergis, WeWork, iStock)
WeMove: WeWork leaves Lincoln Road, consolidates Miami Beach operations to Lenox Ave
WeMove: WeWork leaves Lincoln Road, consolidates Miami Beach operations to Lenox Ave
WeWork at 429 Lenox Avenue (Credit: HFF)
WeDone: South Beach landlord seeks to evict WeWork for unpaid rent
WeDone: South Beach landlord seeks to evict WeWork for unpaid rent
arrow_forward_ios

The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

Loading...