WeWork could be getting SPAC’d soon, too – TechCrunch

According to a new report in the WSJ, WeWork, the cooperating juggernaut that saw its attempt at a public offer blew up in a spectacular way in the fall of 2019, could become a publicly traded company by merging with a blank check company.

According to WSJ, the New York-based company has been “weighing offers from a Bow Capital Management LLC affiliate SPAC and at least one other unidentified acquisition vehicle” for several weeks, which could bring WeWork approximately $ 10 billion.

When asked for more information, a company spokesperson sent us the same statement posted to the Journal: “Over the past year, WeWork has continued to focus on executing our plans for profitability. Our significant advances coupled with increased market demand for flexible space are showing positive signs for our business. We will continue to look for ways to help us get closer to our goals. “

According to a person close to the company, the company is also considering incoming interest for more private funding.

According to the WeWork spokesperson, WeWork has more than $ 3.6 billion in cash and cash equivalents and unfunded payment obligations, including more than $ 875 million in cash available, and believes this is “more than adequate liquidity to survive a prolonged COVID environment “.

Sandeep Manthrani, CEO of WeWork, said last fall that WeWork was on track to become profitable sometime this year and that after achieving “profitable growth first” it would “reconsider the IPO plan” . Speaking to reporters in India about a Zoom call from New York, he added, as Bloomberg reported, that WeWork would be “100% rights-out” as of October, having moved from 8,000 employees, or about a third of its employees have separated.

Manthrani stepped into the role of CEO last February after WeWork co-founder Adam Neumann left the company months earlier following the company’s IPO.

Previously, Mathrani was CEO of the Brookfield Properties Retail Group and Vice Chairman of Brookfield Properties for 1.5 years. Prior to joining the Chicago-based company, he was CEO of General Growth Properties for eight years. It was one of the largest mall operators in the US until Brookfield bought it for $ 9.25 billion in cash in 2018.

Mathrani also served as Executive Vice President of the listed real estate company Vornado Realty Trust for eight years.

Bow Capital Management is led by Vivek Ranadive, founder of Tibco Software. In July, plans were registered for a $ 350 million blank check company to focus on acquiring businesses in the technology, media and telecommunications industries.

Although there has been a lot of debate over the years about whether WeWork is a technology company or more of a real estate company, the company has long insisted it be the former.

This story evolves. . .

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