WeWork Cos. said it is investing US$500 million in a new entity to grow its exposure in Southeast Asia and South Korea, pumping in more to add to its recent investments in China and Japan.
For its Singapore expansion, WeWork agreed to acquire Spacemob, with the latter's CEO Turochas Fuad named WeWork's managing director of Southeast Asia. The local coworking company was established in early 2016 and opened its second location in the city-state in March. Spacemob is also scheduled to open up spaces in Indonesia and Vietnam soon.
Meanwhile, in South Korea, WeWork said it appointed Matt Shampine as general manager for the country. Most recently the head of marketing and revenue for Asia, Shampine will spearhead the company's expansion in South Korea.
WeWork Asia Managing Director Christian Lee said in a statement that the acquisition of Spacemob will expedite the company's efforts to enter key markets in Southeast Asia. Meanwhile, Shampine's experience as a longtime employee and member of the company "will be critical as we expand our offerings in Korea," Lee said.
In July, WeWork agreed to set up a US$500 million vehicle with SoftBank Group Corp. and Hony Capital to expand in China, just days after WeWork agreed to a 50/50 joint venture with SoftBank to enter the Japanese coworking market. In March, it was reported that SoftBank invested US$300 million in WeWork.