The space-sharing firms value has been cut from $47bn to as low as $15bn ahead of its IPO a major dent as its co-founder tries to sell the vision of we
We dedicate this to the power of We greater than any one of us, but inside each of us, proclaims the prospectus for office-sharing company WeWorks forthcoming share sale.
On Monday co-founder Adam Neumann will start trying to sell that vision to potential investors. The signs are not good.
After years of hype, Neumanns plan to become one of the worlds richest entrepreneurs on the back of a 22% stake in WeWork, now known as the We Company, have been hit hard. The value of the company has been cut from $47bn to as low as $15bn. Even their major investor, the Japanese, Saudi-backed SoftBank, has reportedly argued against pressing ahead with the sale, a delay that threatens a $6bn loan needed to fund an aggressive global expansion of the brand.
Its a major dent to Neumanns dream to build a multibillion-dollar global space-sharing real estate firm built on the trust and community spirit of we and the vision to elevate the worlds consciousness.
The share sale comes as investors have become increasingly skeptical of profit-free tech, or tech-related, companies that have built their businesses on piles of Silicon Valley cash.
Those investors have been burned by offerings by the ridesharing companies Uber and Lyft and watched as Neumann, whose first frays into entrepreneurship were a collapsible high heel for women and a baby romper with reinforced knees, has marketed his we concept with an evangelism that often veers into faux-spiritualism.