Skip to main content

WeWork raises another $1 billion from SoftBank

Tinuku - WeWork gets another US$1 billion from SoftBank, this time in the form of convertible notes. As WeWork Co.’s co-working business grows, so have its expenses, which means it continues to need cash. Luckily, the start-up has a willing partner SoftBank Group Corp.

The Japanese conglomerate will invest another US$1 billion in WeWork in the form of a convertible note, WeWork said Thursday in a discussion of its first-half performance. The New York-based co-working company had US$1.9 billion in cash on hand as of June 30 and already raised about US$5 billion from SoftBank last summer and earlier this year for its China-focused subsidiary.

Tinuku WeWork raises another $1 billion from SoftBank

This year, WeWork has started informally discussing some of its financial information, including numbers for last year and the first quarter of this year. Other financial information also became public this year when it sold US$702 million in bonds rated as junk by credit agencies.

“WeWork’s sales are rising and its construction costs per desk are dropping. All of those together basically give you the confidence to want to go faster. There’s significant interest in WeWork equity from large institutions.” said Artie Minson, WeWork’s president and CFO.

If that investor interest leads to another funding round of at least US$1 billion, or if the company goes public, SoftBank’s loan to WeWork will convert to equity. The price per share will depend on whether SoftBank or another investor leads the round, the company said. If another firm is the majority investor, SoftBank will get a guaranteed minimum price per share of US$110, which would value the company at $42 billion.

WeWork’s most recent fundraising round valued the company at US$20 billion, though a SoftBank executive said that the company was seeking to raise more at a US$35 billion valuation. The startup also said it acquired two small general contracting firms, one in New York and another in London, as part of its effort to bring more parts of the design and construction process in-house.

In documents related to its bond offering, the company said it lost US$933 million on US$886 million in sales last year. In the first half of this year it lost US$723 million on US$764 million in sales. The company expects at least US$1.8 billion in sales over the next 12 months.

Comments

Popular posts

Conservative cleric vice president candidate of Indonesia, abstentions rose

Tinuku - Indonesian President Joko Widodo chose an elderly Muslim cleric Ma'ruf Amin as vice presidential candidate for the 2019 presidential election to become a red record for human rights activists. The figure who actively strives to criminalize minorities and sexuality is seen as a way to reverse human rights enforcement.

Lokataru's director, Haris Azhar, is still campaigning not to elect the presidential and vice presidential candidates. The declaration of two candidate pairs, especially the choice by Joko Widodo to Ma'ruf Amin as vice president and presidential candidate Prabowo Subianto on Sandiaga Uno as vice president, strengthened the minds of human rights activists.


"It's still the same. In fact, it is increasingly proven. From a human rights perspective, all candidates are violators of human rights. So I think the four candidates are the same, not friendly to human rights, not friendly to the environment," said Azhar told to Deutsche Welle Indones…

Ant Financial entered Indonesia in partnership with Emtek

Tinuku - Alibaba Group’s Ant Financial Services is making its first foray into Indonesia with plans to launch a new mobile platform for payment and other financial services in partnership with a local firm.

Ant Financial, operator of China’s popular online payment platform Alipay, announced on Wednesday that it will set up a joint venture with Indonesian digital company Emtek.


Without disclosing the size of the investment, the two companies said the joint venture will leverage Ant Financial’s experience and know-how in mobile payment, digital financial innovations, risk control and cloud computing.

To begin with, the new payment platform will be offered on BBM, Indonesia’s most commonly used messenger application, which is operated by a subsidiary of Emtek and has a user base of over 63 million monthly active users.

“Ant Financial has proven know-how in delivering payment and other financial solutions to a large and growing mobile audience in China and enabling its partners globally, …

Samsung Bioepis and Takeda plans clinical trials new drug

Tinuku - Samsung Bioepis said Monday that it plans to soon start phase 1 clinical trials for its first new drug candidate in development with Japan’s Takeda Pharmaceutical, setting a fresh milestone in the South Korean drugmaker’s push into new drug development.

The therapeutic candidate, SB26, also known as TAK-671, is an ulinastatin-Fc fusion protein to treat severe acute pancreatitis. It is the first result of the new drug development collaboration partnership signed by the two companies in August 2017. Samsung Bioepis spokesperson confirmed the upcoming clinical trials will be held in the US only, though the exact start date for the trials remain undisclosed.


Samsung Bioepis said, the study, randomized, double-blind, placebo-controlled and involving single and multiple dose escalation, will assess the safety, tolerability and pharmacokinetics of intravenous injections of SB26 in healthy volunteers. The results of the study are expected in the third quarter of 2020.

“The upcoming c…

Indonesia eyes plan to help startups expand across southeast Asia

Tinuku - Indonesia wants southeast Asian nations to cooperate in helping startups in the region worth at least $1 billion expand outside their home countries, the communication minister said on Friday. The effort aims to keep foreign startups from dominating a market of 640 million people by assisting the region’s estimated seven to ten unicorns, or companies that have attained a valuation of $1 billion without tapping the stock markets.

“I’ve discussed this strategy with other ministers in Southeast Asia and have offered to everyone to adopt existing unicorns and have a presence in each other’s countries,” Minister of Communication Rudiantara said in an interview.


“I’m really passionate about the issue and have discussed it at our last Association of Southeast Asian Nations ministers’ meeting,” he said at his office, adding that he would discuss the matter again at the next meeting of ASEAN ministers in Bali.

The suggestion drew a positive response from ministers from Thailand and Si…