WeWork wins out as US HY buyers warm to cash burning companies

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By David Bell
26 Apr 2018

Highly valued companies that are yet to make any money are enjoying a strong reception in the US high yield market. WeWork and Netflix were the latest to sell bonds this week, despite questions over WeWork’s accounting, which turned a $933m loss into $233m of earnings. David Bell reports.

Deeply negative cashflows are proving no obstacle for high growth, highly valued companies looking to tap the US capital markets for funding, a trend that many say is at the heart of what the high yield market was designed to achieve.

WeWork and Netflix both brought new bonds ...

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