Investments · Real estate (shared offices)
SoftBank and Vision Fund invest $4.4 billion in WeWork
- Investor
- SoftBank Group and SoftBank Vision Fund (Tokyo)
- In
- WeWork, New York, New York
- Value
- $4.4B ($3.0B to WeWork + $1.4B to Asia joint ventures); ¥328.3B
- Status
- Announced on August 24, 2017; the investment has closed.
- Date
- 2017-08-24
SoftBank Group and SoftBank Vision Fund agreed to invest $4.4 billion in WeWork, the New York shared office company. Of the total, $3.0 billion went to WeWork itself through new and existing shares, and $1.4 billion went to WeWork's joint ventures in Asia. SoftBank received two seats on WeWork's board.
Why it matters
The investment began SoftBank's large and lasting exposure to WeWork, which grew in later years.
How the money was split
The $3.0 billion for the parent company combined new shares issued by WeWork with shares bought from existing holders, so not all of it went to the company. The other $1.4 billion went to WeWork joint ventures set up to grow the business in Asia, where SoftBank planned to help WeWork expand.
Governance
SoftBank took two seats on WeWork's board as part of the deal. The yen value of the investment was about ¥328.3 billion.
Sources
Kakehashi M&A News home
