Kuwait Sovereign Wealth Fund leads round in Knotel
Enterprise workspace provider Knotel has banked $400 million at an estimated $1 billion valuation in a round led by Wafra, the investment arm of the Sovereign Wealth Fund of Kuwait. Tokyo-based Mori Trust, Itochu and Mercuria joined Norwest Venture Partners, Newmark Knight Frank, Bloomberg Beta and Rocket Internet in contributing to the round.
Founded in 2016 and based in New York, the company provides over 4 million square feet of workspace in more than 200 cities. Knotel did not immediately respond to PitchBook's request for comment.The funding announcement follows reports in May that the company was seeking an undisclosed amount of funds at a $1.5 billion valuation, with Singapore's GIC Private Ltd.possibly participating. GIC Private appears to be largely absent in Wednesday's announcement, however.
Knotel reportedly holds big names such as Starbucks, Microsoft, Oracle and AT&T as clients. It has cumulatively raised about $560 million, per the PitchBook Platform.
The company will pursue an entrance into Asian cities including Tokyo, Seoul, Beijing and Hyderabad, as well as US cities including Houston, Dallas, Chicago and Atlanta, according to Bloomberg. In addition to its global expansion plans, the company plans to invest in Baya, an internal blockchain-based software platform used to analyze potential acquisition opportunities, and Geometry, a furniture rental subscription service for the company's clients.