WeWork gets new US$1.1 billion commitment from SoftBank, cuts burn rate

WeWork gets new US$1.1 billion commitment from SoftBank, cuts burn rate

A sign is seen above the entrance to the WeWork corporate headquarters in Manhattan, New York
FILE PHOTO: A sign is seen above the entrance to the WeWork corporate headquarters in Manhattan, New York, U.S., November 21, 2019. REUTERS/Mike Segar

NEW YORK: The We Company, owner of WeWork, told employees on Thursday that it cut its cash burn rate almost in half to US$671 million from the end of last year and obtained a US$1.1 billion commitment in new financing from majority owner SoftBank .

WeWork said in an e-mail to employees discussing its second-quarter results that it continues to execute on its five-year plan and it has US$4.1 billion in cash and unfunded cash commitments, including the new SoftBank funds.

The e-mail was seen by Reuters.

Source: Reuters

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