WeWork says will file to withdraw IPO

WeWork’s decision to pull its IPO was widely expected, after the company postponed the share sale earlier in September. — AFP pic
WeWork’s decision to pull its IPO was widely expected, after the company postponed the share sale earlier in September. — AFP pic

NEW YORK, Sept 30 — WeWork’s parent The We Company said today it will file to withdraw its initial public offering, a week after the SoftBank-backed office-sharing startup removed founder Adam Neumann as its chief executive officer.

WeWork’s decision to pull its IPO was widely expected, after the company postponed the share sale earlier in September, following push-back from perspective investors over its widening losses and Neumann’s unusually firm grip on the company.

SoftBank, which owns nearly a third of We Company, invested in the startup at a US$47 billion (RM197 billion) valuation in . But investor scepticism led to it earlier this month considering a potential IPO valuation of as low as US$10 billion, Reuters reported.

“We have decided to postpone our IPO to focus on our core business, the fundamentals of which remain strong,” WeWork’s newly appointed co-CEOs Artie Minson and Sebastian Gunningham said today.



“We have every intention to operate WeWork as a public company and look forward to revisiting the public in the future,” Minson and Gunningham added.

We Company had vowed to pursue the IPO and complete the share sale by the end of the year, after Neumann stepped down as CEO. However, sources had told Reuters last week that the IPO was unlikely to be completed this year. — Reuters

Source: The Malay Mail Online





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