But investors are lusting after higher yields, and companies are taking advantage of them while they still can, which makes sense, particularly if it’s a unicorn with long-term lease obligations out the wazoo, whose net loss – which doubled to nearly $1 billion – is bigger than its revenues.
A company like this needs a lot of cash to burn. After junk-rated Netflix’s lightning-fast “drive-by” bond sale of $1.9 billion on Monday, it’s now junk-rated WeWork’s turn with its own $500 million bond sale that may well be upsized by a large amount in face of ravenous investor demand.
https://wolfstreet.com/2018/04/24/peak-bubble-for-junk-bonds-says-wework-bond-sale/
