finance news

Wework puts its public offering on hold

Wework puts its public offering on hold
Wework puts its public offering on hold
We Company, the parent company behind WeWork, a coworking and real estate management company has decided to delay its IPO, according to people who are close to the matter. 

Private investors once thought the company was valued at over $50 billion but public investors now think the valuation could less than half.

The Sky High valuations have left public investors wondering about the company management under its co-founder and CEO, Adam Neumann.

Some analyst estimated the company could be valued at less than $10 billion. Softbank and other investors would face huge losses it the company would be valued at below $45 billion. 

Adam would not have 20 times the voting power as the company board has decided to slash its Class B and Class C shares.

The venture capitalists have been rethinking sky-high valuations as Uber and Lyft have been underperforming in its first year as a public company.