25-26 November 2020 11/25/2020 1:00:00 PM 11/26/2020 6:00:00 PM Europe/London

ULF

The leading industry news resource; industry awards and international b2b conference and exhibitions for the sector Tobacco Dock, Tobacco Quay, Wapping Lane, London, E1W 2SF International Hospitality Media info@internationalhospitality.media
Tobacco Dock, Tobacco Quay, Wapping Lane, London, E1W 2SF Tobacco Dock, London

$1 billion injection for WeWork as membership declines

George Sell Uploaded 17 August 2020 US: SoftBank is injecting a further $1.1 billion into WeWork as it battles declining membership amid the pandemic.

According to a report in Bloomberg News,a WeWork company memo described the move as “another sign of SoftBank’s continued support for our business”. It boosts WeWork's available cash and unfunded cash commitments to $4.1 billion, according to CFO Kimberly Ross’s memo. The investment is in the form of senior secured notes.

WeWork’s year-on-year Q2 revenue rose nine per cent to $882 million, but its membership base fell 12 per cent to 612,000 from Q1 to Q2 this year.

Ross said: “We’ve seen renewed demand from leading enterprise companies as they look for flexibility on a global scale.”

The company recently exited leases for future locations in Baltimore’s Harbor Point and at 149 Madison Avenue in Manhattan. It has 843 locations in 150 cities across 38 countries.

 

View all Articles

“Having hosted numerous events within co-working, co-living, hostels, BTR, hotels and serviced apartment venues over the last few years, attendees are already witnessing the convergence of urban hospitality and real estate first-hand - it makes sense to bring everybody together for this unique experience of doing business.”

Piers Brown, CEO International Hospitality Media

Subscribe and keep up-to-date