Jin Jiang International and Legend Holdings will get exit routes through the deal, which is set to give SoftBank a stake in the workspace provider sized at about 80%.
Telecommunications and internet conglomerate SoftBank agreed yesterday to provide $9.5bn for a rescue package for US-based workspace provider and portfolio company We Company.
The deal will involve $3bn that will go to a tender offer allowing all the other investors to sell their shares, a $1.5bn funding commitment that will be brought forward from April 2020, and $5bn in debt financing.
WeCo’s main product is WeWork, a network of some 530 shared workspaces across the world. SoftBank said it will come out with a stake sized at approximately 80%, and recent reports had suggested the transaction would revise We Co’s valuation to between $7.5bn and $8bn.
The corporate will buy about $1bn of the shares held by founder and former chief executive Adam Neumann, who is also in line for a $185m consulting fee and an advance of $500m of loans, according to the Financial Times.
Marcelo Claure, SoftBank’s…
