SoftBank Group Corp. and its technology investment vehicle Vision Fund could inject up to $10 billion in WeWork, the Financial Times wrote on Wednesday, quoting anonymous people in the room. The leak follows an unconfirmed report that it seeks to lift its 20% share to a majority stake with $15 to $20 billion.
Insiders cited today said the original meetings revolved around the possibility to invest much less, but that the target's valuation would have grown to as much as $40 billion. The startup, which operates coworking real estate units, has purportedly been in talks with the Japanese behemoth "for months" and that the broad understanding is for funding stretched over two years. One source revealed SoftBank is asking for a discount.
The news outlet learned from a person familiar with the matter that the move may suspend plans for a stock exchange listing. The two firms have a joint project in Japan since last year, while SoftBank has supported a unit of WeWork in China.
