(TOKYO, JAPAN)— Masayoshi Son’s SoftBank has been WeWork’s most devoted supported and investor, pledging billions of dollars in support of the now-struggling company. However, the counted-on bail out might not go as planned: SoftBank is having a hard time getting loans from the major Japanese banks it has been courting, Reuters reports.
SoftBank is seeking a staggering $3 billion in loans from Mizuho Financial Group, Mitsubishi UFJ Financial Group and Sumitomo Mitsui Financial Group, as part of the $9.5 billion rescue package promised to WeWork. Reuters reports “internal lending limits,” but it’s no surprise that with the rampant bad press for WeWork, lenders are feeling leery of extending credit.
SoftBank, too, is stretching its good name. A longtime, important player—founder Masayoshi Son made a fortune with his early investment in Alibaba—SoftBank is becoming known for risky investments, few of which seem to have yielded the same payoff as Alibaba.