WeWork is in talks to raise hundreds of millions in capital to support the business, according to Bloomberg.
The long-struggling workspace rental company is reportedly in talks with Yardi Systems, a real estate software maker about an investment.
WeWork shares gained 5% in extended trading.
WeWork and Yardi have been working together on projects for at least the last year.
A WeWork logo is seen outside its offices in San Francisco. (Reuters / Kate Munsch / Reuters Photos)
The talks reportedly center around allowing WeWork to restructure its debt and would get a financial cushion of several years, according to a person familiar with the negotiations.
SoftBank Group, the largest outside investor, doesn’t plan to contribute to the financing but is open to revising terms on WeWork’s loans.
A WeWork sign in front of a building in Arlington, Virginia. (Olivier Douliery / AFP via Getty Images / Getty Images)
FOX Business has reached out to WeWork for comment.
The Wework location in Manhattan, New York. (iStock / iStock)
In January, WeWork announced it was streamlining operations resulting it cutting 300 positions.
A near collapse in 2019 resulted in the ouster of its star founder, Adam Neumann, and a multi-billion dollar bailout from SoftBank.
WeWork leases buildings and divides them into office spaces to sublet to members, which include small businesses, start-ups and freelancers who want to avoid paying for permanent office space.
WeWork’s stock is down over 76% in the past year.