SoftBank Group, Japan's multi-billion dollar technology conglomerate and investment company, rolled out a bid to save WeWork parent company We Co., just weeks before the company's real collapse. company estate, The Wall Street Journal report. The company plans to raise billions of dollars in debt on the heels of its public offering to finance its ongoing operations.
The botched public offering worth co-founder Adam Neumann his leadership position in the co-working rental business he co-founded nearly a decade ago. The new financing financing consolidated by SoftBank further removed Neumann from the company's operations and business, according to the WSJ's report. a plan in the works to raise billions of debt through a process managed by JPMorgan Chase & Co.
"WeWork maintains a major Wall Street financial institution to conduct a financing," a spokesman for We Co said. wrote an email. "About 60 financial resources have signed confidentiality agreements and are meeting with the management of the company and its bankers in the course of this past week and the coming week."
SoftBank owns about a third of the company and their bidding for the business involves billions of equity and debt.
The We Co struggles in conjunction with underperforming investments in publicly traded businesses such as Uber and Slack have broken SoftBank as it expects the company to move forward with a second version of the ambitious Vision The fund, a $ 100 billion vehicle of investment generated in 2017 to invest in ambitious start-up companies.
The results were flawless. And it's not just public companies like Slack and Uber that's pulling funding. Investments directly with consumer companies like Brandless, or the robotic startup of pizza delivery Zume have also failed to deliver – despite hundreds of millions in promises from SoftBank.
SoftBank did not respond to a request for comment at the time of publication. 19659010]