The New York-based workspace-sharing company, once valued at $47 billion, said its ability to stay in operation is contingent upon improving its liquidity and profitability over the next 12 months.
WeWork was stung by the Coronavirus pandemic as social distancing caused people to work from home and the company has still not reported a profit since restrictions were eased.
WeWork said in a filing with the Securities and Exchange Commission (SEC) that challenges include softer demand and a ‘difficult’ operating environment.
‘Substantial doubt exists about the company’s ability to continue as a going concern,’ the firm said.
Plus: “The company was valued at $47 billion at one point, before investors started to drop off due to [former CEO Adam] Neumann’s erratic behaviour and exorbitant spending.”