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WeWork and Uber cost SoftBank’s Vision Fund a quarterly loss of $8.9 billion

WeWork and Uber cost SoftBank’s Vision Fund a quarterly loss of $8.9 billion
[Photo: Kaleb Tapp/Unsplash]

We now know exactly how much all the WeWork drama of the past few months cost SoftBank, one of its largest investors. As Investor’s Business Daily reports, SoftBank has reported a quarterly loss of 970.3 billion yen in its Vision Fund, which amounts to an $8.9 billion loss for the quarter ending September 30.

WeWork wasn’t responsible for all of that $8.9 billion loss, however—just most of it. As IBD reports, WeWork caused the fund to take a 497.7 billion yen ($4.6 billion) hit. Other major companies that caused Vision Fund to make a loss last quarter include Uber and Slack.

Both WeWork and Uber have seen their valuations plummet in recent months, particularly WeWork, which was valued at as much as $47 billion in January, but only $7.8 billion at the end of September thanks to potential IPO investors being spooked once they got a look at WeWork’s financials. As a result, WeWork pulled its IPO plans in September.

Vision Fund’s $8.9 billion loss contributed heavily to SoftBank’s $6.5 billion operating loss for the quarter—its first quarterly operating loss in 14 years.

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