WeWork, Uber drag SoftBank into first quarterly loss in 14 years

Softbank’s founder Masayoshi Son admitted that his earlier judgement of WeWork was ‘not right’ in many ways. Japanese technology investment firm SoftBank Group suffered its first quarterly loss in 14 years between July and September, dragged down by falling valuations of its biggest tech bets such as WeWork and Uber. The group’s giant Vision Fund made a 970 billion yen ($8.9bn) loss, a humbling blow for founder, chairman and chief executive Masayoshi Son even as he tries to raise an enormous sum for a second investment fund. Son, 62, told…

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SoftBank shares fall on plan to rescue WeWork

Japanese investor SoftBank says it is a ‘firm believer’ in the ongoing ‘transformation in the way people work’. Shares of Japan’s SoftBank Group Corp fell two percent in early trading in Tokyo on Wednesday as the tech conglomerate moved to take over beleaguered United States-based office-space sharing startup WeWork with a funding injection of around $10bn. “SoftBank is a firm believer that the world is undergoing a massive transformation in the way people work. WeWork is at the forefront of this revolution,” SoftBank Chairman and CEO Masayoshi Son said in…

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SoftBank to take control of WeWork, say sources

WeWork has been plunged into turmoil in recent weeks, scrapping its IPO and removing CEO and cofounder Adam Neumann. The board of office space-sharing company WeWork has accepted a takeover plan proposed by Softbank Group, handing control to the Japanese firm, according to “people familiar with the matter”. WeWork owner The We Company’s board was evaluating SoftBank’s offer against an alternative financing proposal from JPMorgan Chase & Co, but decided to go with SoftBank, even though the bank put together a $5bn debt financing package. This marks a stunning reversal…

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SoftBank’s message to entrepreneurs: profits matter

Message by founder and CEO Masayoshi Son, who invests heavily in startups, underscores decision to oust WeWork chief. Masayoshi Son, long known as a free-spending benefactor who encouraged startup founders to pursue their dreams even if it meant losing billions of dollars, had a different message for entrepreneurs last week: Your dreams had better be profitable. The chief executive officer of Japan’s SoftBank Group Corp. told company leaders gathered at the five-star Langham resort they need to become profitable soon and stressed the importance of good governance, according to a…

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SoftBank bets big on WeWork

Japanese fund reportedly plans to increase its investment in controversial US startup, but could yet pull out of deal. Japanese technology investor SoftBank Group Corp is planning to pump an extra $1bn or more into WeWork by renegotiating an agreement struck before falling valuations delayed the US-based office-sharing startup’s initial public offering (IPO), the Financial Times newspaper has reported. The plan would increase SoftBank’s initially planned investment of $1.5bn in WeWork as part of the agreement, giving the US company the right to receive the money in April next year…

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