REUTERS/Bobby Yip
WeWork Co-founder, Miguel McKelvey
- Softbank may make an investment between $15 billion and $20 billion in WeWork, giving it a majority stake in the co-working space company, according to the Wall Street Journal.
- The discussions are ongoing and a deal is not guaranteed.
- SoftBank's technology-focused Vision Fund already made a $4.4 billion investment in WeWork last August, giving it a 20% ownership stake in the company.
Softbank is in discussions to invest $15 billion to $20 billion in WeWork, giving it a majority stake in the co-working space company, according to a Wall Street Journal report on Tuesday.
The discussions are ongoing and a deal is not guaranteed, according to the report, which cites anonymous sources.
The deal is likely to be financed through SoftBanks' $92 billion Vision Fund, which is backed by Saudi Arabia and Abu Dhabi wealth funds as well as SoftBank's own capital, the Journal reported. The technology-focused Vision Fund already made a $4.4 billion investment in WeWork last August, giving it a 20% ownership stake in the company.
It's not clear what valuation SoftBank would give WeWork in the majority-stake deal. The two companies had been in talks for a smaller investment this June that would have valued WeWork at nearly $40 billion, according to The Wall Street Journal.
Japan-based SoftBank's largest investment to date in a venture-backed startup was $7.7 billion for 15% ownership in Uber, according to The Wall Street Journal.
Representatives of SoftBank and WeWork did not immediately return Business Insider's requests for comment.