WeWork Planning to Raise Up to $4 Billion of Debt Ahead of IPO: WSJ

The video discusses WeWork's plan to raise $4 billion in debt, potentially increasing to $10 billion, despite significant losses. This strategy raises questions about the viability of debt financing for pre-IPO companies that are losing money. The discussion highlights the potential risks and market reactions, as well as the implications for corporate finance decisions and regulatory concerns in leverage lending.

What are the potential risks of loading up a balance sheet before going public?

How do banks manage their own books in relation to leverage lending?