Deals
SoftBank Threatens to Unravel $3 Billion WeWork Stock Deal
- Shares dive in Tokyo after S&P cuts outlook to negative
- SoftBank is grappling with uncertainty over tech valuations
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SoftBank Group Corp. told shareholders of WeWork that it could withdraw from an agreement to buy $3 billion of stock in the embattled co-working business, casting doubt on a deal that had been set to close in about two weeks.
In a message to stockholders reviewed by Bloomberg, the Japanese conglomerate cited numerous government inquiries into WeWork, including those from U.S. attorneys, the Securities and Exchange Commission, attorneys general in California and New York and the Manhattan district attorney.