According to Financial Times, the first tranche of $1.5 billion will be handed over on January 15, 2019, while the rest will be given three months later.
Though WeWork is primarily a provider of shared workspaces for technology startups, a third of its revenue comes from its enterprise products made for corporate clients.
Softbank’s Vision Fund had last year invested $4.4 billion in the company, making the Japanese multinational holding conglomerate its biggest backer. Softbank also holds two board seats in WeWork.
Since April, WeWork has been publically announcing its quarterly results, though it is still a privately held company. Over the past three quarters, the company has reported losses worth $1.22 billion on a revenue of $1.25 billion. According to company filings, last year it lost $933 million, despite reporting a top line of $886 million.
Though the company is yet to turn any profits, Softbank seems highly optimistic about it. If WeWork does, start turning in profits, Softbank would become the biggest beneficiary.