SoftBank considering multi-billion dollar WeWork investment

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
1500 Concord Terrace and Atal Bansal, founder and CEO of Chetu (Photos courtesy of Chetu)
Software firm Chetu buys Sunrise office property for $25M
Software firm Chetu buys Sunrise office property for $25M
 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
(Photos courtesy of Hitzig Militello)
Argentine architecture firm opening first U.S. office in Miami
Argentine architecture firm opening first U.S. office in Miami
Founders Fund partners Peter Thiel and Keith Rabois (Getty/Illustration by Kevin Rebong for The Real Deal)
Silicon Valley’s Founders Fund inks Miami lease
Silicon Valley’s Founders Fund inks Miami lease
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
arrow_forward_ios

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

Loading...