SoftBank Group Corp said it believes WeWork’s core business is still good despite governance and execution challenges.
“We are still in it, we are involved, we are helping the company because we believe the idea at its core is very, very good,” said Deep Nishar, senior managing partner at SoftBank’s Vision Fund. “We will help solve WeWork’s problems with corporate governance with the next set of management,” he said at Munich’s Digital Life and Design conference.
Nishar said he doesn’t expect every one of the fund’s 80-plus companies to be successful and while the fund has had some “really good” outcomes, flexible office company WeWork hasn’t gone the way it planned.
WeWork put a sharp break on its expansion plans after it shelved an attempt to file for an initial public offering in September. Investors were spooked by steep losses and profligate spending.