WeWork went bankrupt and quickly earned the catchy hashtag #WeDontWork on Twitter. I wanna know what's up for the WeWork investors damaged due to this bankruptcy (not as hardcore as Masayoshi Son, but still a bummer) and what's in it for us.
I am pretty sure you heard about what WeWork is and that things went swimmingly well, making them a unicorn in 2014. Fast forward to 2017, they're valued at a mind-blowing $20B.
But, when they were prepping for an IPO, it all went sideways. Worries cropped up about their managment, overblown valuations, and Neumann's wild parties with booze that costs a month's paycheck and personal brand, which got him kicked out.
Then, the COVID-19 outbreak in 2020 took its toll. Despite rollercoasters and big layoffs, they managed to hit the market in 2021, which was not a good time for it tho, valued at $9B.
But just two years later, they filed for bankruptcy and right now, WeWork's drowning in $13 billion of rent debt. By August, it was pretty much game over.
Investing in WeWork made sense initially I guess, but not in after-COVID life (who needs coworking when you could chill on Phuket's beaches?). I think it was just a really wrong time but all the scandals also played a big role for sure.
Still, I'm curious if anyone bet on WeWork. What's your take? Do you think investors can drag them to court for this rollercoasters and get some compensation for all the drama?
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