WeWork Clinches $1.75 Billion in Financing With Goldman’s Backing
- Deal frees roughly $800 million in cash, people familiar say
- Goldman is arranging financing, listing SoftBank as a borrower
The WeWork logo sits on the company's co-working office space in Amsterdam, Netherlands.
Photographer: Jasper Juinen/BloombergThis article is for subscribers only.
WeWork has obtained $1.75 billion in new financing in a fundraising push led by Goldman Sachs Group Inc., under terms that free up a mountain of cash for the struggling office-sharing company.
The new line of credit is the first hurdle cleared by SoftBank in its pledge to put together $5 billion in debt financing for WeWork as part of a bailout package. The move should free up roughly $800 million in cash that WeWork had set aside to satisfy covenants on its previous credit line, according to two people with knowledge of the matter.