Adam and heave

17 September 2019 By Liam Proud Follow @liamwardproud

CEO Adam Neumann postponed a float, which may have pegged his office-sharing startup’s worth at $10 bln compared with a $47 bln private price tag. Yet without an IPO, parent The We Company’s growth may stall. If so, WeWork’s true value could be half even its mooted listing price.

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WeWork owner The We Company on Sept. 16 said it expected to complete its initial public offering this year, effectively postponing an IPO previously expected this month.

The U.S. office-sharing startup was concerned that not enough investors would participate, Reuters reported.

Biggest investor SoftBank was discussing investing between $750 million and $1 billion, according to Reuters. But even then, The We Company thought the IPO would raise a little over than $2 billion, short of its target of at least $3 billion.

That target is one condition for a $6 billion credit line The We Company secured from banks last month.

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