WeWork to go public in $9 bln SPAC deal with BowX Acquisition

Wework

26/03/2021 12:56

** Shares of special purpose acquisition company (SPAC) BowX
Acquisition Corp  BOWX.O  up 5.4% at $10.26 premarket after
WeWork agrees to merger
    ** After aborted IPO attempt in 2019, office-sharing startup
to go public through tie-up with BOWX in deal valued at $9 bln
 urn:newsml:reuters.com:*:nL4N2LO2G8
    ** Deal to provide WeWork $1.3 bln in cash, including $800
mln PIPE (private investment in public equity) from Insight
Partners, funds managed by Starwood Capital Group, Fidelity
Management and others
    ** WeWork earlier this week told prospective investors it
lost ~$3.2 bln in 2020 as part of pitch for public listing by
merging with a SPAC  urn:newsml:reuters.com:*:nL4N2LK49P
    ** Blank-check firms, or SPACs, are shell companies that
raise funds through an IPO to take private cos public
    ** BOWX raised $420 mln in its IPO in Aug

 (Lance Tupper is a Reuters market analyst. The views expressed
are his own)
 ((lance.tupper.tr.com@reuters.net
lance.tupper@tr.com 1-332-219-1430))