JPMorgan Chase & Co. will most likely lead the planned IPO of coworking giant WeWork Cos. Inc.'s parent, The We Co., after being tapped to head an upcoming debt offering, Reuters reported, citing sources familiar with the matter.
The work on the debt offering may begin as early as the week commencing Aug. 5, although it could be delayed due to regulatory hurdles, the Aug. 3 report noted.
The company has not officially named any bank for the IPO, but any lender involved in the debt offering will have a direct impact on its role in the IPO, the publication cited the sources as saying. Other banks including Goldman Sachs Group Inc. are also expected to have "prominent roles" for the IPO, the sources added.
According to an Aug. 1 report by Bloomberg News, WeWork is looking for additional financing via a $4 billion delayed-draw term loan and a $2 billion letter of credit facility, in which JPMorgan is set to commit up to $800 million.
JPMorgan and Goldman Sachs declined to comment, while The We Co. did not respond to an email, Reuters noted.