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From prized startup to bankruptcy: WeWork's tumultuous path

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From prized startup to bankruptcy: WeWork's tumultuous path
Reuters
Reuters
August 09, 2023

(Reuters) - WeWork, the SoftBank Group-backed startup, sought U.S. bankruptcy protection on Monday after its bets on companies using more of its office-sharing space soured.

Below is a timeline of WeWork developments since mid-2019:

Aug 2019 WeWork filed for an IPO and published detailed

financial statements that showed it lost almost

$700 million in the first half of 2019 while

doubling its revenue.

Sept 2019 WeWork said it planned to proceed with an

investor roadshow for its IPO, despite concerns

over the valuation it could achieve in a listing.

Sept 2019 WeWork said it planned to list its stock on

Nasdaq and announced changes to its corporate

governance, including curbs in the voting power

of then CEO Adam Neumann.

Sep 2019 Co-founder Neumann agreed to resign as CEO,

bowing to pressure from some investors.

Sep 2019 WeWork filed to withdraw its IPO as the potential

valuation dropped to as low as $10 billion, from

$47 billion in January 2019.

Nov 2019 WeWork said it would lay off around 2,400

employees globally as it sought to drastically

cut costs and stabilize its business.

Feb 2020 WeWork named real estate industry veteran Sandeep

Mathrani as its new CEO.

Mar 2021 WeWork disclosed in a presentation to prospective

investors that it had lost $3.2 billion in 2020.

Mar 2021 WeWork agreed to go public through a merger with

blank-check firm BowX Acquisition Corp

Oct 2021 WeWork went public via a SPAC deal.

May 2022 WeWork appointed Andre Fernandez as its CFO,

replacing Benjamin Dunham.

Nov 2022 WeWork said it would exit about 40

underperforming U.S. locations.

Jan 2023 WeWork said it would cut about 300 roles globally

as part of efforts to cut back on underperforming

locations.

Mar 2023 WeWork struck deals to cut debt by about $1.5

billion and extend the date of some maturities,

in a bid to preserve cash as it felt the heat of

mass layoffs on its business.

Apr 2023 WeWork received a non-compliance notice from the

New York Stock Exchange, as its stock closed

below $1 on average over a consecutive 30

trading-day period.

May 2023 WeWork said CEO Sandeep Mathrani would step down,

effective May 26.

May 2023 CFO Andre Fernandez said he would resign on June

1, less than a year into the role.

Aug 2023 WeWork raised "substantial" doubt about its

ability to continue as a going concern, and said

three board members had stepped down.

Aug 2023 WeWork said it would proceed with a one-for-forty

reverse stock split to regain compliance with

listing requirements.

Sept 2023 WeWork started a process to negotiate favorable

terms with its landlords and planned to exit

underperforming locations.

Oct 2023 WeWork decided to withhold interest payments of

about $95 million related to some of its notes.

Oct 2023 WeWork named interim Chief Executive David Tolley

as its CEO.

Oct 2023 WeWork said Chief Operating Officer Anthony

Yazbeck would step down from that role and also

as the company's president on Oct. 20.

Oct 2023 WeWork withheld interest payment of about $6.4

million on some of its notes.

Oct 2023 WeWork planned to file for bankruptcy in the

first week of November, a source familiar with

the matter said.

Nov 2023 WeWork said it sought U.S. bankruptcy protection

and entered a restructuring agreement to wipe out

about $3 billion of secured debt.

(Reporting by Kannaki Deka and Shubham Kalia in Bengaluru; Editing by Milla Nissi, Varun H K and Jamie Freed)

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