(Tiper Stock Exchange) – WeWorka company that provides shared workspaces for startups, businesses and freelancers, has stipulated a series of agreements with an ad hoc group representing more than 60% of the bonds, a third party investor, and SoftBank’s Vision Fund II to obtain “a better and sustainable budget“.
Overall, the transactions they will reduce the net debt of WeWork of approximately $1.5 billion, will extend a significant portion of debt from 2025 to 2027 and, when completed, will result in new financing and capital commitments for more than $1 billion.
On the liquidity front: the transactions provide approximately €540 million in new financing, €175 million in new capital commitments and €300 million in renewed capital commitments, for a total of over 1 billion and incremental net liquidity of over 500 million after the cancellation of the previous 500 million SoftBank senior secured note.
On the debt relief front: erase about 1.5 billion of total debt through the transformation into equity of approximately 1 billion unsecured notes of SoftBank.