SoftBank considering multi-billion dollar WeWork investment

Japanese firm would shell out $2B in first round, second investment could be $2B or more

TRD MIAMI /
Feb.February 27, 2017 11:15 AM

From the New York website: Japanese telecom giant SoftBank is getting ready to invest more than $3 billion in WeWork, a deal that could value the shared-workspace provider at more than $20 billion.

The investment would come in form of an initial $2 billion of funding, followed by another round worth more than $1 billion, CNBC reported.

SoftBank could increase the second round to more than $2 billion, a source told CNBC, bringing the total investment to nearly $4 billion.

A spokesperson for WeWork would not confirm the details of the deal, and a representative for SoftBank did not immediately comment.

WeWork is already valued at roughly $17 billion, and over the past two years has raised more than $1 billion from companies such as Goldman Sachs, Benchmark and China-based Hony Capital.

WeWork is transforming its business structure from a typical tech startup to a more corporate form. Earlier this year the company hired the former president of entertainment center Brooklyn Bowl and a former Starwood Property executive to key positions.

The company is considering launching a real estate investment fund, and in July CEO Adam Neumann said WeWork is considering an IPO, but did not give a specific date.

Masayoshi Son, the Japanese billionaire who controls SoftBank, told President Donald Trump in December that he would invest $50 billion in the United States. [CNBC]Rich Bockmann


Related Articles

arrow_forward_ios
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
As resi brokers in South Florida report an uptick in sales and rentals largely fueled by homeowners fleeing dense markets like New York, office brokers say they’re starting to see a similar trend play out among tech firms. (iStock)

More tech firms eye Miami as Covid carries on

More tech firms eye Miami as Covid carries on
(Credit: iStock)

Here’s how South Florida’s office market is changing in the coronavirus era

Here’s how South Florida’s office market is changing in the coronavirus era
Daniel de la Vega with the previous website and the redesigned version (Credit: iStock)

One Sotheby’s rolls out new website during pandemic

One Sotheby’s rolls out new website during pandemic
Sandeep Mathrani and the Four Seasons Residences at The Surf Club (Credit: Four Seasons)

WeWork CEO buys condo at Four Seasons in Surfside

WeWork CEO buys condo at Four Seasons in Surfside
Mauricio Zapata, Lyle Chariff, and Luis Guevara, with a rendering of NeueHouse Miami

Co-working operator NeueHouse expands to Miami

Co-working operator NeueHouse expands to Miami
arrow_forward_ios

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

Loading...