WeWork says it doesn’t expect to hit its 2020 financial targets as it grapples with the coronavirus outbreak.
SoftBank Group told shareholders of WeWork that it could withdraw from an agreement to buy $3-billion of stock in the co-working business, casting doubt on a deal that had been set to close in about two weeks.
SoftBank’s bad year goes well beyond WeWork. Investors are starting to get the feeling that whatever Masayoshi Son brings to the public is troubled.
Masayoshi Son struck a defiant tone after his SoftBank Group reported an enormous loss from investments in money-losing startups WeWork and Uber Technologies.
WeWork is considering a bailout that will hand control of the co-working giant to SoftBank Group, according to a person familiar with the matter.
WeWork’s plan to go public, in one of the largest stock offerings of the year, has hit a wall. Now the company will see whether sacrificing its divisive leader can save a crucial fundraising effort.