WeWork’s parent company has chosen the Nasdaq for its IPO, which will take place during the week of September 23.
Even more interesting: The Wall Street Journal reports that the office rental company plans “sweeping” changes to its governance.
The report doesn’t give many details on the overhaul planned by We, but the changes may have been spurred by concerns over the amount of control that CEO Adam Neumann and his wife, Rebekah Neumann, wield over the company.
We has chosen to create multiple classes of stock, giving Adam Neumann voting control. But if he is “permanently disabled or deceased” in the 10 years following the IPO, Rebekah will form a committee with one or two board members to select a new CEO.
[WeWork has a fast-growing presence in the Research Triangle area and Charlotte markets.]
Money matters: We and its advisers are targeting a valuation that could slip below $20 billion, according to the Journal. That’s much lower than the $47 billion valuation implied by a funding round earlier this year. A preliminary price range will be set next week.
Vital signs: We lost $1.9 billion last year, according to its prospectus. It has continued to burn money this year, losing $904 million in the first half. The bull case for potential investors? Revenue roughly doubled to $1.5 billion in the first six months of the year.
Inside WeWork: Cofounders set to control co-working giant following IPO
