After a long wait, WeWork has announced that it will be going public by merging with a blank-cheque company. The flexible space provider will be merging with BowX Acquisition, a blank check firm known as a SPAC, in a deal that values the co-working company at an initial enterprise value of $9B.
The transaction is expected to close by the third quarter of 2021. With this transaction, WeWork will receive approximately $1.3B of cash, which will enable the company to fund its growth plans into the future. This is including a fully committed $800M private placement investment with key investors, including Insight Partners, funds managed by Starwood Capital Group, Fidelity Management & Research Company LLC, Centaurus Capital, and funds and accounts managed by BlackRock