Think about what happens if they were just numbers (but don't forget that it's not commutative):
Let's call $A:=C_N$ and $B:=W_N$ for simplicity. If these were numbers, you are looking for $\displaystyle\frac1{1/A\,+B}$. Now we want to pull out $\displaystyle\frac1{1/A}$ (alias $A$) from the left, so that, because of the inverse, we have to pull out $1/A$ from the right:
$$1/A+B=(1+BA)\cdot 1/A\\
\frac1{1/A\,+B}=\frac1{1/A}\cdot\frac1{1+BA}\,.$$
Writing it with inverses, we get the same line:
As $A^{-1}+B=(I+BA)A^{-1}$, we have
$$(A^{-1}+B)^{-1}= A(I+BA)^{-1}\,.$$