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Ajay Suresh
US co-working network WeWork plans to start trading its shares on the New York Stock Exchange from October this year. It was announced by the company's press office. WeWork will go public through a merger with BowX.
BowX is a SPAC, i.e. a shell company set up specifically to merge with another private company that wants to float shares bypassing the IPO.
BowX shareholders will discuss the terms of the deal with WeWork at a meeting on 19 October; if approved, the deal will close around 21 October and the company's shares will start trading on the stock exchange under the ticker WE, according to the press release.
WeWork first announced plans to go public via SPAC in March this year. WeWork and BowX intended to complete the merger by the end of September, but the process has been delayed, Bloomberg said.
That valuation is more than five times lower than the valuation WeWork received from private investors in 2019 ($47bn). That same year, the company was forced to cancel its IPO: when it filed with the US Securities and Exchange Commission, it became aware of its losses of $904 million on revenues of about $1.5 billion over six months. Within weeks, WeWork's valuation plunged to $8 billion, and its co-founder Adam Neumann stepped down as head of the company under pressure from the board.
source: reuters.com
BowX is a SPAC, i.e. a shell company set up specifically to merge with another private company that wants to float shares bypassing the IPO.
BowX shareholders will discuss the terms of the deal with WeWork at a meeting on 19 October; if approved, the deal will close around 21 October and the company's shares will start trading on the stock exchange under the ticker WE, according to the press release.
WeWork first announced plans to go public via SPAC in March this year. WeWork and BowX intended to complete the merger by the end of September, but the process has been delayed, Bloomberg said.
That valuation is more than five times lower than the valuation WeWork received from private investors in 2019 ($47bn). That same year, the company was forced to cancel its IPO: when it filed with the US Securities and Exchange Commission, it became aware of its losses of $904 million on revenues of about $1.5 billion over six months. Within weeks, WeWork's valuation plunged to $8 billion, and its co-founder Adam Neumann stepped down as head of the company under pressure from the board.
source: reuters.com
