Business

After IPO postponement, SoftBank wants to change WeWork's presidency

Japanese conglomerate hoped to profit on the company's stock market debut

The entrance to a WeWork co-working space location in the Bryant Park area in New York.
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  • SoftBank Group, the largest investor in We Company, WeWork’s owner, wants to remove Adam Neumann from the executive office of the company;
  • SoftBank invested in We Company a total of $ 47 billion in January. However, investor skepticism regarding the company led to potential valuations of only $ 10 billion.

According to Forbes and Reuters, SoftBank Group, the largest investor in We Company, WeWork‘s owner, wants to remove Adam Neumann from the executive office of the US shared-office firm.

The conflict between the Japanese conglomerate and one of its biggest investments comes after We Company postponed its initial public offering (IPO) last week.

The postponement was due to potential investors casting doubts on the company’s sustainability, “not only for its growing losses, but also for Neumann’s exceptionally rigid management,” according to both publications.

SoftBank invested in We Company a total of $ 47 billion in January. However, investor skepticism regarding the company, according to Reuters, led to potential valuations of $ 10 billion.