Softbank considers buying minority stake in WeWork

Softbank, one of the prominent multinational firm of Japan, is considering to invest ~$1 billion in the co-working space startup WeWork. The startup is currently valued at $17 billion, and is one of the stalwarts in co working space. It takes out long-term leases on large office spaces, subdivides them into several parcels and then charges monthly memberships to a broad range of entrepreneurs and companies who occupy the space. It leases more than 3.5 million square feet and serves more than 25,000 members around the world.

Softbank on the other hand is a technology focused firm, and has setup a $100 billion technology fund to invest around the globe. A number of tech giants such as Apple, Oracle, Foxconn and Qualcomm have confirmed that they are planning to invest in the fund. The fund is expected to be made up with $45 billion from Saudi Arabia via the Kingdom’s Public Investment Fund, $25 billion from SoftBank, and $35 billion from other global investors. It is also in discussion to acquire a stake in Uber, world’s largest ride sharing startup, valued at more than $40 billion.