9984.T - SoftBank Group Corp.

Tokyo - Tokyo Delayed Price. Currency in JPY
4,129.00
+113.00 (+2.81%)
As of 3:15PM JST. Market open.
Stock chart is not supported by your current browser
Previous Close4,016.00
Open4,179.00
Bid0.00 x 0
Ask4,001.00 x 0
Day's Range4,040.00 - 4,242.00
52 Week Range2,609.50 - 6,045.00
Volume33,346,200
Avg. Volume25,710,382
Market Cap8.553T
Beta (5Y Monthly)N/A
PE Ratio (TTM)30.56
EPS (TTM)908.38
Earnings DateAug. 05, 2019 - Aug. 09, 2019
Forward Dividend & YieldN/A (N/A)
Ex-Dividend DateN/A
1y Target Est13,753.00
  • WeWork sues SoftBank in intensifying crisis over canceled $3B tender offer
    TechCrunch

    WeWork sues SoftBank in intensifying crisis over canceled $3B tender offer

    Just days after SoftBank announced that it would not consummate its $3 billion tender offer for WeWork shares that would have bought out some of the equity held by the company’s co-founder Adam Neumann along with venture capital firms like Benchmark and many individual company employees, the company is now retaliating, suing SoftBank over alleged breach of contract and breach of fiduciary duty. In a press statement this morning, the Special Committee of WeWork’s board said that it “regrets the fact that SoftBank continues to put its own interests ahead of those of WeWork’s minority stockholders.” WeWork’s Special Committee argues that SoftBank already received the benefits of the contract it signed last year, which included board control provisions.

  • Some WeWork Staff Planned Their Lives Around a Stock Deal That Just Collapsed
    Bloomberg

    Some WeWork Staff Planned Their Lives Around a Stock Deal That Just Collapsed

    (Bloomberg) -- Teddy Kramer worked at WeWork from 2013 to 2015. When he left the company, he had been a director of new market development, helping the co-working startup open new offices in different regions. He’d put in the time and been granted shares in the company. At first, he thought he might be able to sell them after WeWork’s much-anticipated initial public offering in September, but the IPO attempt flopped.As a backup option, Kramer and other current and ex-WeWork staff were told they would be able to sell their shares to SoftBank Group Corp. in a deal set to take place on Wednesday. Kramer was expecting to sell between $50,000 and $100,000, he said, and he was depending on the cash to cover expenses while he started his new business, a co-working space in San Francisco called Neon. On Thursday, though, SoftBank sent a letter to all WeWork shareholders: The deal was off. The Japanese conglomerate, the largest investor in WeWork parent We Co., was pulling out of the agreement to purchase billions in WeWork stock from existing shareholders. The abrupt about-face has impacted many people like Kramer—rank-and-file employees who had been banking on the payout from SoftBank, some of whom are now left in a lurch as the coronavirus pandemic slams the global economy. They’d already faced the disappointment of losing the chance to sell after the promised IPO and seeing their highly valued WeWork shares lose almost all their worth in the fallout. SoftBank’s decision to pull out underlines the precarious nature of owning shares in a startup, even when the company was, at one point, the most valuable startup in the U.S.Less than a year ago, WeWork was on pace for an IPO that would add to the rolls of tech millionaires. New York was bracing for an infusion of wealth akin to the bonanza that beset Silicon Valley overnight when Facebook Inc. went public in 2012. An IPO or multibillion-dollar stock transaction like the one SoftBank agreed to with WeWork provides the seed money for people to buy homes and start businesses. For WeWork, those opportunities evaporated with little forewarning, coming as a shock to some shareholders who had already begun laying the foundation for their new lives. SoftBank cited several reasons for pulling out of the deal, including that WeWork was currently facing government inquiries from U.S. attorneys, the Securities and Exchange Commission, attorneys general in California and New York and the Manhattan district attorney. Those ongoing inquiries, the company said, meant that the conditions of the original deal had not been met. Representatives for SoftBank and WeWork declined to comment.  In the letter sent early Thursday confirming the deal was off, SoftBank framed the called-off stock sale as something that would have mainly benefited WeWork’s ousted chief executive officer, Adam Neumann, and WeWork’s investors. The bulk of the proceeds of the $3 billion stock sale was set to go to just five investors, including Neumann and venture capital firm Benchmark. "Adam Neumann, his family, and certain large institutional stockholders, such as Benchmark Capital, were the parties who stood to benefit most from the tender offer," SoftBank said in a statement about the decision. "Together, Mr. Neumann’s and Benchmark’s equity constitute more than half of the stock tendered in the offering. In contrast, current WeWork employees tendered less than 10% of the total."But for employees, a tenth of $3 billion is still a lot of money. Add in additional workers who have recently left the company, and that figure could climb even higher. Some current and former staff at WeWork have taken issue with SoftBank’s statements about its decision to pull out, arguing that the money they stood to receive from the sale would make more of a difference in their lives than to Neumann and others.“They’re trying to leverage the negative press that has followed Adam since the IPO by saying ‘This is just a billionaire making more money,’” Kramer said.Kramer, 36, said he’s fairly lucky. He hadn’t signed a lease yet for his new company, and doesn’t have employees that he would have to cut. But without the money from the stock sale, his business dream is on indefinite hold. In the meantime, he’s tutoring kids in reading comprehension over Zoom and looking for a different job.Other people were depending on the SoftBank sale to help defray costs they’d incurred when WeWork’s stock seemed much more valuable. One current WeWork employee, who also asked not to be named because of a non-disclosure agreement, said they bought a house last summer thinking they'd be able to pay for it after selling shares in the IPO. When that didn't happen, they had still been hoping cash from this stock sale could help offset some of those costs.A former employee, who asked not to be named because they signed a non-disclosure agreement, said that once the company’s IPO prospectus was made public in August, they figured that meant the IPO was likely to take place. Right after that, this person took out a loan in order to buy the shares they had access to. The idea was to buy early to try to avoid short-term capital gains tax.Over the next month, though, as WeWork’s bankers struggled to get institutional investors to commit to buying into WeWork’s IPO, the company’s prospects started to look shakier. The former employee said that WeWork’s then chief financial officer, Artie Minson, repeatedly tried to reassure workers at all-hands meetings. Minson told them the company had strong revenue, that its numbers had never been better, and that the company would go public by the end of the year.But quickly, WeWork withdrew its IPO and turned to SoftBank for bailout funding to avoid going bankrupt. Employees were offered the chance to reprice their shares at around $4 each. The former employee, though, still had a tax bill based on the value of the shares at their time of purchase, around $50 apiece. That left this person with a six-figure tax bill—and no way to sell the shares in order to pay it off. The former employee had been hoping that they’d be able to sell enough shares to SoftBank this week to pay off the loan taken out to buy the shares in the first place—not the profit this person had envisioned, but just enough to break even.Some employees might be able to find some relief, said Deep Gujral, a principal who works with venture-backed companies at the professional services firm Withum. Gujral recommended trying to negotiate with creditors: "Given the current climate, and Covid-19, they might be more receptive" to relaxing payment requirements, he said. "If you have a mortgage, and you go to the lender, they might be flexible." Gujral also expects to see class-action lawsuits that include current and former WeWork employees as a result of the withdrawn tender offer. After energy-services company Enron filed for bankruptcy in 2001, employees were able to use federal laws around benefit plans and stock to their advantage in court, and the same could apply here, he said.But hypothetical lawsuits are of little comfort to most WeWork shareholders. “The rest of the world needs to know that there are 500 to 1,000 early employees who are paying the price for this,” Kramer said. “All we ever did was work hard and make this company an $8 billion company. This was our moment. SoftBank came in and made a deal: ‘We're going to take care of you.’ And now all of a sudden it's, ‘Eh, we're not doing that.’”For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.

  • So This Is How the Tech Bubble Finally Ends: Fully Charged
    Bloomberg

    So This Is How the Tech Bubble Finally Ends: Fully Charged

    (Bloomberg) -- Sign up for Bloomberg’s daily technology newsletter here.The tech bubble is popping, but not in the way anyone expected. After years of fretting that free-spending startups with unrealistic valuations would bring down the startup economy on its own, a global pandemic is doing it in instead.Tech layoffs are accelerating. The New York Times dubbed it “the great unwinding” and one reporter tweeted “here comes the pop.” Of course, this isn’t the dot-com era, where Silicon Valley stood out from the pack for its wild exuberance. Boeing Co. seems more imperiled than Uber Technologies Inc.We might never be able to disentangle what would have happened without this crisis. Would the bubble have burst another way? It feels like a distant memory when in January I took stock of former Y Combinator President Sam Altman’s narrowly defeated bubble bet.At the time it looked like enormous funding rounds for the biggest startups had gotten out of hand, but that many companies were still extremely valuable. Only a few months later, that period looks like the moment just before the peak of the market. Now venture capitalists are hoping to help the companies they’ve invested in score government loans.In some ways, the poster children for this tech run-up had already been chastened. WeWork had much of its dirty laundry aired and its CEO deposed last year. Now, its business model faces serious challenges for reasons that are hard to blame on the company. It’s unreasonable to expect WeWork to have predicted Covid-19, but it was spending money in a way that certainly didn’t protect itself from this black swan event.This week, SoftBank Group Corp. backed out out of a $3 billion deal to buy WeWork stock, which means that Adam Neumann, WeWork’s former CEO, isn’t even a billionaire anymore, according to an analysis by Bloomberg.SoftBank cited regulatory concerns and government investigations, not the collapsing market, as the reason for the move. Those problems would have existed without coronavirus.The hype around scooter companies had already been fading. It turned out that winter, with all its snow and ice, wasn’t great for tiny two-wheeled open-air vehicles. Now that spring is here though, everyone is in lockdown, and so layoffs are underway.WeWork and scooter sharing were prime examples for people who wanted to argue that startups had gone too far. Now they’re plummeting in a way that feels existential. The question is: were things headed this way already or was it the exogenous shock? People will probably be debating that well into whatever boom comes next.And just as in the aftermath of the last crash, the seeds of that next boom may already be being planted. Zoom Video Communications Inc., the video conferencing service, revealed this week that it had gone from 10 million daily active users to 200 million thanks to the crisis. Grocery delivery has become an essential service. Amazon.com Inc., is facing plenty of criticism for its treatment of workers, but the company is the backbone of the American way of life.Everyone is stuck at home watching the "Marvelous Mrs. Maisel," searching for thermometers, masks and toilet paper on Amazon Prime, and streaming themselves on Twitch. Tech valuations may be down and some sectors of the industry look very imperiled, but Silicon Valley didn't collapse under its own contradictions. It turns out this time was different after all.If you read one thingAmazon executives said the focus of its public relations campaign responding to a work stoppage on Staten Island should focus on the warehouse worker who organized the action, rather than "simply explaining for the umpteenth time how we’re trying to protect workers." Notes from a private meeting written by Amazon's General Counsel David Zapolsky described the organizer, a man named Chris Smalls who Amazon subsequently fired, as “not smart, or articulate." Zapolsky said in a statement  after the notes became public that "I let my emotions draft my words and get the better of me.” The incident came a day after Amazon's top spokesman, Jay Carney, complained on Twitter about "ad hominem vitriol."And here’s what you need to know in global technology newsWeWork rival Industrious dismissed or furloughed of 30% of its staff. Sales have spiked at online pet supply retailer Chewy Inc., as homebound pet owners stress buy squeeze toys. Google will start allowing coronavirus political ads. The company is revising its policy after a DNC official complained about decisions that "hamstring Democrats' ability to call out and counter Donald Trump's lies."For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.

  • Daily Crunch: Amazon announces new warehouse safety steps
    TechCrunch

    Daily Crunch: Amazon announces new warehouse safety steps

    Amazon says it will start taking additional steps to ensure the safety of its warehouse workers, SoftBank backs out of its latest WeWork investment and Zoom tries to fix its security issues. Amazon has already taken some precautions, including mandatory paid 14-day quarantines for employees who test positive, as well as increased cleaning and sanitization efforts of families and infrastructure. The new measures to be introduced next week include taking temperatures of employees at the entrances to warehouses, with any individuals wth a fever of more than 100.4 degrees Fahrenheit to be sent home, where they’ll have to have three consecutive days without fever to return to work.

  • Adam Neumann Ousted From Billionaire Ranks on SoftBank Reversal
    Bloomberg

    Adam Neumann Ousted From Billionaire Ranks on SoftBank Reversal

    (Bloomberg) -- WeWork co-founder Adam Neumann has a new title: ex-billionaire.SoftBank Group Corp.’s decision to scrap an October agreement to buy $3 billion of WeWork stock means the former chief executive officer’s fortune has plummeted 97% to $450 million in less than a year -- wiping away $13.5 billion of his estimated net worth, according to the Bloomberg Billionaires Index.Because the deal collapsed, Neumann won’t be able to sell as much as $970 million of stock in the co-working company. The agreement had already drawn scrutiny even before the coronavirus pandemic routed markets and reshaped the global economy.While SoftBank’s decision leaves Neumann with a larger chunk of the firm he helped found a decade ago, those shares are likely worth less than SoftBank had offered for them. WeWork set a strike price of $4.12 for employee stock options in November, far lower than the $19.19 SoftBank was set to pay as part of the rescue.Asher Gold, a spokesman for Neumann, declined to comment.The coronavirus pandemic has brought major economies to a standstill, devastating co-working companies. WeWork’s locations stand practically empty as tenants stay home. Its bonds trade at less than 40 cents on the dollar and are yielding 36%. Shares of rival IWG Plc plunged 60% in the first quarter.Neumann, 40, already had billions erased from his fortune last year, at least on paper, as WeWork’s private market valuation collapsed. His net worth rose to $14 billion last year before dropping to $1.3 billion at the time of SoftBank’s bailout, according to Bloomberg’s wealth ranking.A special committee of WeWork’s board said in an emailed statement that it “will evaluate all of its legal options, including litigation,” against the Japanese conglomerate.The fortune of SoftBank CEO Masayoshi Son is also under strain. Shares of SoftBank have dropped 21% this year, paring his net worth to about $12 billion, as investors fret about the company’s debt pile. About 40% of Son’s shares are pledged as collateral, according to regulatory filings.For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.

  • Bloomberg

    Bridgewater Co-CEO Murray Joins Board at SoftBank-Backed Compass

    (Bloomberg) -- Eileen Murray, who is preparing to step down as co-CEO of the world’s largest hedge fund, has joined the board of SoftBank-backed real estate brokerage Compass.Murray, 62, has been at Ray Dalio’s Bridgewater Associates LP for more than a decade and plans to leave later this month. She previously worked at Morgan Stanley and Credit Suisse Group AG.“Part of building a great company with a long-term vision is building a board of directors that will ensure we carry out that vision by institutionalizing our intentions,” Ori Allon, Compass founder and executive chairman, said in a statement. “Eileen is among the most accomplished executives in the finance industry. Her wealth of experience combined with her unparalleled track record provides Compass with invaluable board leadership as we continue to pursue our mission of helping everyone find their place in the world.”In February, Compass -- one of the largest U.S. real estate brokerages -- named its first independent director, Pamela Thomas-Graham, to its board, which now comprises two women and three men.SoftBank has sought to improve corporate governance at its portfolio companies, which also include DoorDash Inc. and WeWork, after the office-sharing startup faced criticism for not having a female director on its board when it filed paperwork for an initial public offering last year.Goldman Sachs Group Inc.’s CEO David Solomon said earlier this year the bank would no longer take a company public in the U.S. or Europe if it lacks a director who is either female or diverse.Read More: Bridgewater’s Murray to Exit, Leaving McCormick as Sole CEOCompass, which generated revenue of more than $2 billion in 2019, recently laid off 15% of its workforce and predicted a 50% decrease in revenue over the next six months because of the coronavirus pandemic.“Compass has been in hyper-growth mode since the day it was founded,” Murray said in a statement. “The company’s high-touch, high-tech approach has not only impacted its own bottom line, but those of Compass agents as well.”For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.

  • SoftBank terminates $3B tender offer for WeWork shares
    TechCrunch

    SoftBank terminates $3B tender offer for WeWork shares

    SoftBank Group has pulled a $3 billion tender offer for WeWork shares citing closing conditions not being met. Under the terms of the share buyback deal negotiated last year, WeWork founder Adam Neumann had been set to receive almost $1 billion for his shares in the co-working company. SoftBank remains fully committed to the success of WeWork and has taken significant steps to strengthen the company since October, including newly committed capital, the development of a new strategic plan for WeWork and the hiring of a new, world-class management team.

  • SoftBank Plans to Abandon WeWork Investor Deal
    Bloomberg

    SoftBank Plans to Abandon WeWork Investor Deal

    (Bloomberg) -- SoftBank Group Corp. scrapped an agreement to spend $3 billion to buy WeWork stock from former Chief Executive Officer Adam Neumann and other shareholders, despite threats of legal action from some members of the company’s board.SoftBank had agreed to buy the shares from Neumann, Benchmark Capital and others as part of a bailout package last year, but notified stockholders in mid-March that conditions for the deal hadn’t been met. On Thursday, after the deal’s deadline passed, SoftBank confirmed it would end the offer, citing five conditions that were not satisfied by the closing date.“SoftBank remains fully committed to the success of WeWork and has taken significant steps to strengthen the company since October, including newly committed capital, the development of a new strategic plan for WeWork and the hiring of a new, world-class management team,” said Rob Townsend, chief legal officer at the company. “The tender offer was an offer to buy shares directly from other major stockholders and its termination has no impact on WeWork’s operations or customers.”SoftBank shares rose 2.5% while the broader Japan market fell.A WeWork committee of two independent directors voiced disagreement over SoftBank’s decision and suggested there may be legal action.“The Special Committee is surprised and disappointed at this development, and remains committed to reaching a resolution that is in the best interest of WeWork and its minority shareholders, including WeWork’s employees and former employees. The Special Committee will evaluate all of its legal options, including litigation,” the committee, made up of Benchmark’s Bruce Dunlevie and another director, Lew Frankfort, said in an emailed statement.The share purchase was hammered out in October as part of SoftBank’s rescue of WeWork, after the co-working company’s failed initial public offering left it weeks away from running out of money. In the deal, the Japanese conglomerate would have taken a stake of almost 80% in the company and buy $3 billion in shares from investors as well as current and former employees. Neumann, ousted in the deal, was set to sell up to $970 million in shares. The generous exit package angered many of his employees, thousands of whom had their jobs eliminated in the following months as WeWork parent We Co. tried to cut its expenses.WeWork signs long-term leases with landlords around the world and then rents that space to smaller companies and freelance workers, a business that has been particularly vulnerable to the coronavirus and economic slowdown. In a letter to bondholders, the company warned it didn’t expect to hit its financial targets for 2020.“Given our fiduciary duty to our shareholders, it would be irresponsible of SoftBank to ignore the fact that the conditions were not satisfied and to nevertheless consummate the tender offer,” Townsend said.In the past few weeks, the shareholder buyout deal has become increasingly contentious. SoftBank sent the letter to WeWork investors saying it could withdraw from the agreement if certain conditions weren’t met by the deadline. SoftBank cited regulatory concerns and a handful of government investigations into WeWork, including from the U.S. Securities and Exchange Commission and the Justice Department.The two WeWork independent board directors responded, saying they would consider legal action if SoftBank pulled out. “Its excuses for not trying to close are inappropriate and dishonest,” a spokeswoman for the directors had said in a statement.The latest deal is separate from SoftBank’s bailout of WeWork itself, a package that included $5 billion in new financing and the acceleration of an earlier $1.5 billion commitment. Most of the money would have gone to five shareholders, including Neumann and the venture capital firm Benchmark, which was looking to sell $600 million in shares, Bloomberg has reported. Less than 10% of the proceeds would have gone to current WeWork employees, SoftBank has said.Still, the transaction has repercussions for WeWork. As part of the deal, the company would have gotten $1.1 billion in debt financing from SoftBank if the share purchase was completed. The Japanese company has decided it is not legally obligated to provide that capital, although it may yet do so, according to a person familiar with the matter.SoftBank and its affiliates have committed more than $14.25 billion to WeWork to date, including $5.45 billion since October, the company said in its statement. WeWork had $4.4 billion in pro forma cash and cash commitments at the end of 2019, SoftBank said.Separately, SoftBank said it completed the sale of its U.S. unit Sprint Corp. to T-Mobile US Inc. The deal removes about $40 billion in net debt from the Japanese conglomerate’s balance sheet.(Updates with details on financing in 13th paragraph)For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.

  • SoftBank Abandons $3 Billion Deal With WeWork Investors
    Bloomberg

    SoftBank Abandons $3 Billion Deal With WeWork Investors

    (Bloomberg) -- SoftBank Group Corp. scrapped an agreement to spend $3 billion to buy WeWork stock from former Chief Executive Officer Adam Neumann and other shareholders, despite threats of legal action from some members of the company’s board.SoftBank had agreed to buy the shares from Neumann, Benchmark Capital and others as part of a bailout package last year, but notified stockholders in mid-March that conditions for the deal hadn’t been met. On Thursday, after the deal’s deadline passed, SoftBank confirmed it would end the offer, citing five conditions that were not satisfied by the closing date.“SoftBank remains fully committed to the success of WeWork and has taken significant steps to strengthen the company since October, including newly committed capital, the development of a new strategic plan for WeWork and the hiring of a new, world-class management team,” said Rob Townsend, chief legal officer at the company. “The tender offer was an offer to buy shares directly from other major stockholders and its termination has no impact on WeWork’s operations or customers.”SoftBank shares rose 2.5% while the broader Japan market fell.A WeWork committee of two independent directors voiced disagreement over SoftBank’s decision and suggested there may be legal action.“The Special Committee is surprised and disappointed at this development, and remains committed to reaching a resolution that is in the best interest of WeWork and its minority shareholders, including WeWork’s employees and former employees. The Special Committee will evaluate all of its legal options, including litigation,” the committee, made up of Benchmark’s Bruce Dunlevie and another director, Lew Frankfort, said in an emailed statement.The share purchase was hammered out in October as part of SoftBank’s rescue of WeWork, after the co-working company’s failed initial public offering left it weeks away from running out of money. In the deal, the Japanese conglomerate would have taken a stake of almost 80% in the company and buy $3 billion in shares from investors as well as current and former employees. Neumann, ousted in the deal, was set to sell up to $970 million in shares. The generous exit package angered many of his employees, thousands of whom had their jobs eliminated in the following months as WeWork parent We Co. tried to cut its expenses.WeWork signs long-term leases with landlords around the world and then rents that space to smaller companies and freelance workers, a business that has been particularly vulnerable to the coronavirus and economic slowdown. In a letter to bondholders, the company warned it didn’t expect to hit its financial targets for 2020.“Given our fiduciary duty to our shareholders, it would be irresponsible of SoftBank to ignore the fact that the conditions were not satisfied and to nevertheless consummate the tender offer,” Townsend said.In the past few weeks, the shareholder buyout deal has become increasingly contentious. SoftBank sent the letter to WeWork investors saying it could withdraw from the agreement if certain conditions weren’t met by the deadline. SoftBank cited regulatory concerns and a handful of government investigations into WeWork, including from the U.S. Securities and Exchange Commission and the Justice Department.The two WeWork independent board directors responded, saying they would consider legal action if SoftBank pulled out. “Its excuses for not trying to close are inappropriate and dishonest,” a spokeswoman for the directors had said in a statement.The latest deal is separate from SoftBank’s bailout of WeWork itself, a package that included $5 billion in new financing and the acceleration of an earlier $1.5 billion commitment. Most of the money would have gone to five shareholders, including Neumann and the venture capital firm Benchmark, which was looking to sell $600 million in shares, Bloomberg has reported. Less than 10% of the proceeds would have gone to current WeWork employees, SoftBank has said.Still, the transaction has repercussions for WeWork. As part of the deal, the company would have gotten $1.1 billion in debt financing from SoftBank if the share purchase was completed. The Japanese company has decided it is not legally obligated to provide that capital, although it may yet do so, according to a person familiar with the matter.SoftBank and its affiliates have committed more than $14.25 billion to WeWork to date, including $5.45 billion since October, the company said in its statement. WeWork had $4.4 billion in pro forma cash and cash commitments at the end of 2019, SoftBank said.Separately, SoftBank said it completed the sale of its U.S. unit Sprint Corp. to T-Mobile US Inc. The deal removes about $40 billion in net debt from the Japanese conglomerate’s balance sheet.(Updates with details on financing in 13th paragraph)For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.

  • Business Wire

    SoftBank Group Announces End of WeWork Tender Offer Because Closing Conditions Not Met

    SoftBank Group Corp. ("SoftBank") today announced that, in accordance with the terms of its October 2019 Master Transaction Agreement ("MTA") with The We Company ("WeWork"), SoftBank’s tender offer for up to $3 billion worth of shares of WeWork held by other stockholders has ended because certain conditions to the tender offer were not satisfied.

  • Bloomberg

    Deutsche Telekom Ponders European M&A After $26.5 Billion Deal

    (Bloomberg) -- After closing an industry-altering U.S. wireless deal, Deutsche Telekom AG’s Chief Executive Officer Tim Hoettges now wants to change telecommunication markets closer to home. Europe’s phone industry needs mergers if it wants to build the kind of superior infrastructure needed to compete with bigger rivals in Asia and the U.S., Hoettges said Wednesday. He indicated he’s willing to get the German carrier involved in M&A to achieve that goal. “Europe is too fragmented,” Hoettges said in a phone interview. “Wherever I see a deal or an opportunity for European market consolidation that’s convincing, then I would always look at that with the partners.”Deutsche Telekom’s U.S. unit T-Mobile US Inc. on Wednesday completed its $26.5 billion acquisition of Sprint Corp. after a years-long saga that included a standoff with antitrust officials and a court battle with U.S. states. Hoettges pushed for the combination for years to give the company a stronger vehicle to expand in the profitable U.S. market. T-Mobile’s importance for Deutsche Telekom has grown steadily and it now accounts for about half of sales, up from around a third in 2014.“Our goal is to become the number-one in the U.S. market,” Hoettges said.T-Mobile and Sprint scrapped a previous plan to merge in 2014 after meeting resistance in Washington. Their second attempt failed in late 2017 when Hoettges and Masayoshi Son, the chairman of Sprint’s parent company SoftBank Group Corp., couldn’t agree on how to structure control of the combined entity, people familiar with the matter said at the time.Hoettges brought the merger back from the dead a few months later. On Jan. 1, 2018, he took out his phone and tapped out an SMS to Son, wishing him a happy New Year and expressing regret that the merger hadn’t happened. It reignited a conversation that culminated in Wednesday’s deal.It frees Hoettges to focus on markets in Europe, where more than 100 wireless carriers vie for airwaves and customers. Outside Deutsche Telekom’s business in Germany, where it competes with Vodafone Group Plc and Telefonica SA, Deutsche Telekom has units in countries from Poland to the Netherlands and Romania.“Of course I was very much focused on America,” Hoettges said. “But I will work with verve on changing the regulatory and antitrust-law framework” in Europe to help bring about the consolidation the region needs, he said.For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.

  • WeWork troubles deepen as SoftBank pulls $3 billion tender offer
    Reuters

    WeWork troubles deepen as SoftBank pulls $3 billion tender offer

    The tech investment giant said in statement that given its duty to its shareholders it could no longer proceed with the deal, citing criminal and civil probes into the startup, WeWork's failure to restructure a joint venture in China and the impact of the coronavirus pandemic. A special committee of WeWork's board said it was disappointed and is considering "all of its legal options, including litigation." SoftBank's decision to rescind the offer means the Japanese firm is no longer obligated to proceed with a further $1.1 billion in debt financing for WeWork.

  • Bloomberg

    SoftBank-Backed Lender Kabbage Cuts Off Businesses as Cash Needs Mount

    (Bloomberg) -- Kabbage Inc., an online lender backed by SoftBank Group Corp., cut off credit to its small-business clients in the past week, more than a dozen customers and an employee said in interviews.The borrowers, who range from software consultants to heavy-equipment contractors, said Kabbage didn’t give them any notice, and that they learned their credit lines had been suspended only upon logging into their accounts. Some said they were counting on the money to get through the tough times ahead.“This is very bad business ethics,” said Joydeep Paul, who runs Medserv Healthcare Solutions LLC, an emergency-medical training company in Princeton, New Jersey. He says his line of credit was cut from $22,000 to $0. “You just turn it off without saying a word -- not an email, not a phone call, nothing.”Online lenders have spent years touting themselves as the opposite of banks. But as the coronavirus pandemic ravages cities across the U.S., they’ve turned to a playbook that banks used during the last financial crisis more than a decade ago: reducing access to credit when the economy is contracting. Other lenders, including On Deck Capital Inc. and Fundbox Inc., have also tightened their underwriting standards or limited lines of credit.“They’ve left me high and dry when I needed them the most,” said Rob Jacques, co-founder of theCodery, a software consulting company in Petaluma, California. He said he was particularly galled to be cut off without notice because until recently Kabbage called him every day asking him to borrow more money.Furloughed WorkersKabbage, based in Atlanta, says it has loaned more than $9 billion to thousands of small businesses since it was founded in 2009. The company furloughed hundreds of its workers this week as it contends with a slowdown in spending at small businesses, which have suffered as consumers nationwide have been ordered to stay inside to slow the spread of the deadly coronavirus pandemic.Kabbage is now trying to position itself as a middleman that will connect people with loans from the Small Business Administration. It has also started a website to help small businesses sell gift certificates to consumers.“Like many other fintechs, we have temporarily adjusted our lines of credit and are focused on supporting the SBA’s Paycheck Protection Program,” Paul Bernardini, a spokesman for Kabbage, said in a statement. “Just as manufacturers have retooled their processes to build ventilators and masks, we’re doing the same to reallocate our resources to respond to the national emergency and provide financial products that small businesses need most.”Rob Frohwein, Kabbage’s chief executive officer, put it differently in an email to employees on Friday, when he said the company would temporarily stop making loans.“As of last night, all lending has been turned off,” Frohwein wrote.Kabbage in 2017 raised $250 million from SoftBank. Other SoftBank Vision Fund portfolio companies -- including Indian startup Oyo Hotel, co-working giant WeWork and real estate brokerage Compass -- have axed staff in recent weeks.Credit ReductionsThe credit reductions come at a dire time for restaurants and shops across the country. In normal times, small businesses have about a month of cash on hand, according to a 2016 study by JPMorgan Chase & Co. That means they’re particularly vulnerable as major cities across the country continue to expand shelter-in-place orders.On Deck began putting holds on customers’ ability to draw on their lines of credit if they hadn’t done so in the last 30 days. Customers affected by the holds have been asked to send the company recent bank statements to have the holds lifted. Jim Larkin, a spokesman for On Deck, said the firm will “continue to serve and support our existing customers and are selectively lending to new customers.”Fundbox, a venture-capital backed small-business lender based in San Francisco, has also limited some customers’ ability to draw on their credit lines.“Like many companies that serve small businesses, we’ve had to make changes that have affected some of our customers,” Tim Donovan, a spokesman for Fundbox, said in emailed statement. “While these decisions have not been easy, it will allow us to continue to serve the majority of our small-business customers now and in the future.”Kabbage customers who called to ask what happened were told that their accounts were under review. An employee at Kabbage, who asked for anonymity to protect their job, said that customer-service agents were instructed not to tell borrowers that the company had suspended credit lines across the board.Michael Figueroa, a security contractor in Fort Lauderdale, Florida, said the representative he talked with was apologetic. “Hey, I don’t even know if I’m going to be working here tomorrow,” he recalled the agent saying.For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.

  • Bloomberg

    WeWork Asks Landlords to Help It Cut Its Rent Bill by Up to 30%

    (Bloomberg) -- WeWork is in discussions with its biggest landlords globally as the co-working giant aims to slash as much as 30% from its copious load of rent liabilities, according to people with knowledge of the talks.WeWork Chief Executive Officer Sandeep Mathrani has been contacting the largest owners of buildings in which the New York-based company is a tenant, and pitching solutions including revenue-sharing agreements, the people said, asking not to be identified as the talks are private.The SoftBank Group Corp.-backed company is selling landlords on the chance to share in its future upside if they agree to convert existing leases to deals that would hand them more of the revenue generated by each property. Early indications are that landlords are reluctant, the people said.A representative for WeWork declined to comment. The company has previously said it’s pursuing migrating to asset-light strategies such as joint ventures and management agreements.As of June 30, WeWork was on the hook for at least $47 billion in lease liabilities accrued during its years of venture-backed breakneck expansion, according to public filings. Now, it faces a potential cash crunch as the outbreak of Covid-19 puts pressure on the company to close some locations. WeWork is also offering some tenants discounts to minimize cancellations.The majority of WeWork’s leases are held by special purpose vehicles that would enable the company to renege on paying rents at individual locations without risk to the parent company. So far, the company has avoided such drastic action as it could hinder WeWork’s ability to lease new space.As of June 30, WeWork had provided credit support in respect of leases in the form of corporate guarantees of $4.5 billion. The company had $4.4 billion in cash as of Dec. 31.In its initial public offering prospectus in August, WeWork warned that “any difficulty” in its locations meeting lease obligations “could affect our liquidity”.For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.

  • SoftBank bolsters investment team with ex-Goldman hire
    Reuters

    SoftBank bolsters investment team with ex-Goldman hire

    SoftBank Group Corp said on Wednesday it has appointed former Goldman Sachs banker Taiichi Hoshino as head of a new investment planning department, as the group increases oversight of its tech bets battered by volatile markets. Souring bets across its portfolio have left SoftBank selling down prime assets and holding back from making new investments. Hoshino is expected to bolster the investment team at a time when CEO Masayoshi Son has received criticism for his top-down investing approach.

  • Fortress-Managed New Residential Is Selling $6 Billion of Debt
    Bloomberg

    Fortress-Managed New Residential Is Selling $6 Billion of Debt

    (Bloomberg) -- New Residential Investment Corp., a real estate investment trust focused on housing, is selling a portfolio of debt with a face value of $6 billion, according to people with knowledge of the matter.The REIT, managed by an affiliate of Fortress Investment Group LLC, has been selling the non-agency debt over the past week to a range of institutional investors, with the transactions expected to be finalized Tuesday, said one of the people, who asked not to be identified because the deals are private. A New Residential representative declined to comment.The loans were sold at a discount, said one of the people. The exact pricing couldn’t immediately be learned. New Residential, which has seen its stock sink more than 65% this year, has a market value of about $2.2 billion. Earlier Tuesday, the New York-based REIT said it would cut its quarterly dividend 90% to preserve liquidity.The U.S. mortgage market has been roiled by the coronavirus pandemic, leading firms to quickly unload billions of dollars in mortgage-backed securities to meet investor redemptions and manage liquidity issues. While the Federal Reserve is buying up mortgage debt, the effort is focused on securities consisting of so-called agency loans that were created with help from the federal government -- different from New Residential’s non-agency debt.“Conditions created by the Covid-19 pandemic have greatly impacted the mortgage REIT industry,” Chief Executive Officer Michael Nierenberg said in a statement. “Market dislocations have put significant downward pressure on asset values. In light of these events, we have made a number of decisions to de-risk, increase liquidity and protect our book value. We continue to focus on growing liquidity as we navigate the market during this time.”The company said its book value has declined about 25% to 30% since the end of last year.For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.

  • Bloomberg

    SoftBank-Backed Car Trading Platform Is Said to Explore Funding Options

    (Bloomberg) -- China’s car trading platform Chehaoduo Group, backed by SoftBank Vision Fund, is exploring options to raise several hundred million dollars after auto sales took a hit in the coronavirus outbreak, according to people familiar with the matter.The company is studying possibilities including equity fundraising and asset-backed securities issuance, said the people, who asked not to be identified as the discussions are private. The car platform is also considering seeking support from local government, one of the people said.Chehaodou, which means “a lot of cars” in Chinese, is arranging virtual meetings with potential investors, the people said. Deliberations are ongoing and the company hasn’t made any final decisions on the fundraising plans, they said.A funding round could come after auto sales in China slumped on the coronavirus pandemic, although potential buyers are gradually returning to showrooms as the country loosens travel restrictions and rolls out subsidies. Chehaoduo is looking for fresh capital to bankroll its expansion in the car services market, one of the people said.Chehaoduo has worked with local governments before. In 2018, it received 3 billion yuan ($423 million) in funding from the city government of Kunshan, where it set up the headquarters for one of its units, local media reported at the time.Backed by 58.com Inc., which operates China’s largest classified online marketplace, Chehaoduo is also weighing an initial public offering in late 2020, the people said. Hong Kong or the U.S. are among the potential listing venues, one of them said.Chehaoduo said in a statement that it’s in the process of fundraising, declining to comment further.Chehaoduo runs online automotive retail businesses including used car trading platform Guazi.com, which was launched in 2015, and Maodou.com, an online new car marketplace set up in 2017, 58.com’s 2018 annual report said. They also provide post-sales maintenance services, financing and insurance solutions in over 200 cities across China, said the report.The company announced in October 2018 on its official WeChat account that its valuation had reached $6.6 billion after completing a so-called C plus round of capital raising. Five months later, the firm said it had raised another $1.5 billion from SoftBank Vision Fund, valuing it at more than $9 billion.The platform counts an array of private equity firms as its investors including Capital Today China, Yunfeng Capital, FountainVest Partners and IDG Capital. 58.com, which has long been one of Chehaoduo’s key backers, said in its 2018 annual report that it was in a process to sell down its holding in the company to roughly 8% from 19.1%.58.com plans to acquire the business-to-business online second-hand car auction unit of Chehaoduo’s major market rival Uxin Ltd. for $105 million, according to an announcement by Uxin on March 24.For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.

  • Bloomberg

    Private Equity Can't Just Hide Out in a Wooded Bungalow

    (Bloomberg Opinion) -- If exchange-traded funds are the fast food of investing, then private equity is the private kitchen. As the world spirals into a recession and the coronavirus pandemic batters your retirement accounts, wealthy investors who bought into assets from unicorns to paintings can hide in an elite bubble that isn’t subject to brutal mark-to-market fair value writedowns.But once in a while, a high-profile unicorn hunter can blow the lid off that opaque world, giving us a glimpse of just how much pain private equity is in. Sometimes, private kitchens churn out terrible dishes, too.Investors are fleeing as SoftBank Group Corp., which runs the $100 billion Vision Fund, scrambles to shore up its balance sheet, as well as those of its portfolio companies. SoftBank gives a good feel for the landscape, because it behaves more like a private equity firm than an angel investor: Its capital is really debt, and it likes to invest in rivals and force them to merge. SoftBank is seeking to raise billions to support its unicorns battered by the coronavirus outbreak, saving those that still show potential and cutting loose the ones that bleed too much cash. On the one hand, it’s in talks to lead a fresh $100 million funding round for Plenty Inc., perhaps because the indoor farming startup can benefit from panic buying of fresh produce. On the other, OneWeb, a satellite operator, has filed for bankruptcy.SoftBank’s desperate scramble must resonate with many private equity firms out there, whose portfolio companies will inevitably need their patrons’ help. By early March, industry titans Blackstone Group Inc. and Carlyle Group Inc. already urged businesses they’ve invested in to do whatever it takes to stave off a credit crunch. But with blue chips drawing at least $124 billion from their credit lines in the first three weeks of March, and dollar funding this tight, will lenders have the bandwidth to aid smaller companies? Banks certainly have much bigger deals to digest: They’ll need to come up with $23 billion of loans soon for T-Mobile USA Inc. to close its merger with Sprint Corp.Granted, for private equity firms, cash levels are at a record high. Last year, capital committed to this sector grew 20% to $1.3 trillion, estimates Pitchbook, a Morningstar company. But instead of buying new assets, firms may have to earmark a good chunk of that money for existing investments, either recapitalizing — like what Softbank has done for basket case WeWork — or leading unplanned funding rounds.Meanwhile, making capital calls to investors can’t be much fun right now. Even the best of them — pension funds and sovereign wealth funds — are dealing with their own crises and may not want to pick up your calls right away, especially if it means selling other assets at deep discounts just to come up with your money. Plus, we now all have the convenient excuse of working from home: Some of us are hiding in the woods (or the Hamptons), away from the raging virus, and may not have good cellphone reception.Just look at SoftBank. As of December, only about 75% of the Vision Fund’s committed capital is with the fund, and the company still needs to call $17.5 billion from third-party investors, its latest filing shows. Since then, Saudi Arabia, a major investor, has started an oil price war, further diminishing its fiscal power. So forget about Vision Fund 2; founder Masayoshi Son needs to fill up 1.0 first. In the last decade, private equity firms piled vast amount of debt onto their portfolio companies to boost returns. More than 75% of deals in the sector included debt multiples greater than six times Ebitda in 2019, compared with 25% after the collapse of Lehman Brothers Holdings Inc., according to Pitchbook. When liquidity recedes, these investments are in trouble.To make matters worse, portfolio companies’ ability to service debt is even worse than it looks on paper, because Wall Street lawyers and bankers often juice earnings to make purchase prices look more reasonable, and so underwriters can originate more loans and earn more fees. In 2016, businesses involved in a merger or leveraged buyout missed their own earnings projections by an average of 35% in the first year after the deal, Bloomberg Businessweek reported in December.So imagine the coronavirus world, where any prior earnings projections feel as outdated as “Sex and the City” stars prancing around Central Park in Manolo Blahniks. Just as social distancing is becoming the norm, so too will corporate defaults. The global rate could climb to 16.1% if the pandemic brings economic conditions that mirror the Great Recession, Moody’s Investors Services warned last week.In private equity, fancy terms like total addressable market or adjusted Ebitda are often used to make a company look more profitable than it is. But the coronavirus is unraveling all that. Just like the rest of world, private markets are also suffering. Ray Dalio’s “cash is trash” motto is so yesterday. This column does not necessarily reflect the opinion of Bloomberg LP and its owners.Shuli Ren is a Bloomberg Opinion columnist covering Asian markets. She previously wrote on markets for Barron's, following a career as an investment banker, and is a CFA charterholder.For more articles like this, please visit us at bloomberg.com/opinionSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.

  • Bloomberg

    Japanese Fintech Startup Raises Funds Despite Virus Chilling VCs

    (Bloomberg) -- Kyash Inc., a Tokyo-based digital banking startup, has raised $45 million from investors at a time the coronavirus outbreak threatens to dry up venture capital funding.The Series C round was co-led by Greenspring Associates Inc. and Goodwater Capital, bringing the total raised by the company to date to $73 million, Kyash Chief Executive Officer Shinichi Takatori said in an interview. Kyash, which also counts Jafco Co. and Japanese banks Mizuho Financial Group Inc., Mitsubishi UFJ Financial Group Inc. and Sumitomo Mitsui Financial Group Inc. among its investors, will use the funds to expand its digital banking offerings.Kyash has developed a payment platform that links directly to Visa Inc.’s system, allowing it to issue cards to consumers as well as tailor services to businesses. The company is part of the growing universe of so-called challenger banks, a group of mostly online operators that aim to use technology to reduce costs and lure customers away from established competitors. The cohort includes Monzo, Starling Bank and Revolut Ltd. in Europe and Chime in the U.S. SoftBank Group Corp.’s Vision Fund last year invested $800 million into financing company Greensill.“It is a vote of confidence in our business, especially at a time like this,” Takatori said. “Our investors believe we can be the leading challenger bank in Japan.”The 34-year-old CEO founded the company five years ago after stints in banking and consulting. Kyash launched a peer-to-peer money transfer app in 2017 and added a Visa-linked payment wallet a year later. It declined to disclose user numbers and other figures and only said its systems currently process about one transaction per second.In Japan, Kyash is up against heavy competition. Mercari Inc., whose mobile payment service counts more than 6 million users in the country, this year acquired pay service Origami Inc., while e-commerce giant Rakuten Inc. runs its own bank, has a credit card with more than 19 million customers and is launching a mobile network. SoftBank is in the process of creating a domestic giant by combining its Yahoo Japan internet business with Line Corp., whose app is used by about half of Japan’s population to send instant messages every day. Both companies compete in mobile payments.While Takatori acknowledges that not having a large, existing user base is a challenge, he says his company enjoys a light cost structure because it was built from scratch. The app also reflects transactions in real time, without delays typical of cards that involve processing by third parties.“Unlike some of our competitors, we are not doing this to funnel people into some other service or try to sell them a mobile plan,” Takatori said. “This is our main business.”For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.

  • SoftBank Drops 10% After OneWeb Files For Bankruptcy Protection
    Bloomberg

    SoftBank Drops 10% After OneWeb Files For Bankruptcy Protection

    (Bloomberg) -- SoftBank Group Corp. fell as much as 10% after a satellite operator it invested in filed for bankruptcy, ceding some gains from an unprecedented plan to sell assets and buy back shares.OneWeb made the filing late Friday U.S. time after raising about $3.3 billion in debt and equity financing from shareholders including SoftBank, Airbus SE and Qualcomm Inc. since its inception. At least $1 billion of that came from SoftBank, which said it first invested in December 2016 and declined to give a total amount.It is the latest blow to SoftBank founder Masayoshi Son, who last week unveiled a plan to raise $41 billion to buy back shares and slash debt. The announcement sent the shares soaring more than 50% in just a few days. The rally was interrupted when Moody’s Corp. cut its debt rating by two notches, saying the Japanese investment firm’s plan to sell off assets during a market downturn threatened its total value. SoftBank’s shares traded 6.7% lower on Monday morning in Tokyo.Son had often pointed to OneWeb as one of the cornerstones of an investment portfolio that ranges from ride sharing, co-working and robotics to agriculture, cancer detection and autonomous driving. The startup was working on providing affordable high-speed access anywhere in the world and targeting 1 billion subscribers by 2025. Son has painted a picture of a future where satellite networks cover every inch of the Earth and a trillion devices connected to the internet disgorge data into the cloud where it is analyzed by artificial intelligence.OneWeb listed liabilities and assets of more than $1 billion each in its Chapter 11 petition in U.S. Bankruptcy Court in White Plains, New York. The company had been in advanced discussions earlier in the year for a fresh investment, it said in a statement. But the discussions fell apart after the coronavirus pandemic sent markets into a tailspin, it said.The company had been mulling a Chapter 11 filing even as it continued to review possible out-of-court alternatives, people with knowledge of the matter told Bloomberg News on March 19.The satellite operator said it will pursue a sale process during the court reorganization and is in talks for so-called debtor-in-possession financing that would allow the company to fund its obligations during the proceedings.OneWeb makes low-orbit satellites that provide high-speed communications. It faces high-profile competition, including from Elon Musk’s SpaceX Starlink project and Jeff Bezos’s Amazon-linked Project Kuiper effort, while incumbents in the space include Inmarsat, Intelsat SA and Eutelsat Communications SA.At the time of its filing, OneWeb owed $238 million to Arianespace, its satellite launch operator, according to the court document. Arianespace, headquartered near Paris, describes itself on its website as the world’s first commercial space transportation company.For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.

  • WeWork sues Softbank over canceled tender offer
    Yahoo Finance Video

    WeWork sues Softbank over canceled tender offer

    Yahoo Finance's Alexis Christoforous and Brian Sozzi break down the latest news on WeWork.

  • WeWork troubles deepen as SoftBank pulls share offer
    Reuters Videos

    WeWork troubles deepen as SoftBank pulls share offer

    Deeper trouble yet for WeWork. That after Japan's SoftBank terminated a 3 billion dollar offer for more stock in the office sharing firm. The giant tech investor said it could not proceed with the deal, citing civil and criminal probes into WeWork. That means SoftBank is no longer obligated to proceed with a further 1.1 billion dollars in debt financing. The move drew an angry response from WeWork. In a statement its board said all options were under consideration, including litigation. But it all adds to the depth of disarray at the firm. WeWork is already undergoing drastic restructuring following a failed IPO last year. And its already significant losses are mounting further due to global lockdowns. The firm posted a 1.25 billion dollar loss for the third quarter. SoftBank faces challenges of its own, thanks to tech bets gone sour. It's pledged to raise 41 billion dollars by selling core assets. The company's shares closed 2.5% higher Thursday (April 2) after it terminated the WeWork deal.

  • SoftBank Is Said to Plan to Abandon WeWork Shareholders Deal
    Bloomberg

    SoftBank Is Said to Plan to Abandon WeWork Shareholders Deal

    Apr.01 -- SoftBank Group Corp. plans to let the deadline for a $3 billion deal with WeWork investors expire without completing the agreement to buy more equity, despite threats of legal action from some members of the company’s board, according to people familiar with the matter.  Ellen Huet reports on "Bloomberg Daybreak: Australia."