WeWork’s Largest Backer Investing $450M In Brokerage And Tech Startup

In one of the largest real estate tech investments to date, Japanese telecom company SoftBank will invest $450M in real estate sales and rental platform Compass, pushing its valuation to $2.2B. 

The latest investment brings the New York-based startup to $775M in total investor capital. Compass will use the money to support part of its plan to expand nationally and reach 20% market share in 20 major markets by 2020, The Real Deal reports.

The capital injection comes less than a month after Compass raised $100M in a funding round led by Fidelity. As a result of SoftBank's investment, Compass has officially surpassed rival Redfin, which has a market cap of approximately $2B, in value.

SoftBank also recently invested $4.4B into co-working giant WeWork. Of that capital, $3B went toward new and existing WeWork shares while the remaining $1.4B will go toward WeWork’s expansion into Asia. The latter will be split into three separate companies, WeWork China, WeWork Japan and WeWork Pacific.

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