WeWork is raising $3 billion from SoftBank and its massive tech fund

Private investors now value WeWork's business at $17 billion, and the latest investment round is likely to propel WeWork's valuation even higher, the WSJ said.

Chief Minister Ian Gorst said the deal, which will see the globally renowned SoftBank Vision Fund handled by a Jersey financial services company, was "extremely significant" for Jersey.

New York-based WeWork leases office space and divvies it up to rent out to individuals and small companies, namely startups. The new investment was disclosed in a securities filing.

SoftBank's investment was reported earlier Monday by the Wall Street Journal.

When SoftBank, the Japanese telecommunications giant, bought the British semiconductor designer ARM Holdings a year ago for $32 billion, Masayoshi Son, SoftBank's founder, said the deal would bring benefits like jobs and investment to Britain.

Representatives for ARM and SoftBank declined to comment.

The goal of Vision Fund, according to Son, is to invest in high-growth tech startups, although the fund also will spend on larger tech investments in the public and private markets.

The shares of SoftBank traded 2.1 percent lower as of 10:23 a.m.in Tokyo on Tuesday. Son's appetite for deals has left SoftBank with a record $130 billion debt load, one of the heaviest in Japan.

Already Saudi Arabia and tech giants including Apple, Foxconn and Oracle have invested tens of billions of dollars in the fund, which will be used to buy up and develop technology businesses around the world. Abu Dhabi's Mubadala Development Co. will invest as much as $15 billion and should reach a formal agreement by the end of this month, people familiar with the matter have said. AAPL, +1.05% and Qualcomm Inc.

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