The co-working space platform WeWork has been going through a rough patch with a string of concerns ahead of its IPO filing.
To make matters worse, the company’s top communication executive Jennifer Skyler announced her exit. She is set to join the famed financial services company American Express as its chief corporate affairs officer.
Dating four years back, Skyler was the first hire in WeWork’s communications team, after having spent three years as a director communications at Facebook.
Skyler initially served as its global head of public affairs before being promoted to the role of Chief Communications Officer.
The c-suite communication executive referred the time she spent in the company as an “incredible journey,” which is now drawing to an end.
The news of her exit comes at a crunch situation for the company, just when it had revealed its plans to file IPO. WeWork has not yet received the green signal from its biggest investor SoftBank.
The company’s financial advisors Goldman Sachs and JPMorgan Chase also expressed concerns in the company’s move to file for IPO. Some of the other major investors of the company seem skeptical about the filing.
The leading global investor and the financial advisors cited that the company could be valued as low as $15 billion in the IPO filing.
This has been a sudden turn of event considering the fact that until recently, the company had a valuation of $65 billion.
WeWork’s co-founder and CEO Adam Neumann was considered to become one of the world’s richest entrepreneurs. His 22% stake would have seen him in the list of world’s 150 richest people.
Neumann hasn't heeded to the advice of the company’s investors nor its financial advisors and is very stubborn in his decision. He has been running around the city, talking to numerous investors to gain their support.
However, WeWork’s balance sheet doesn't support his cause. It has not been cash positive and has suffered $690 million in this year’s first half.
Industry experts have set their eyes on the global shared workspace provider to see how well it would fare if and when it goes ahead with its plan.
