WeWork files for bankruptcy amid office market downturn

  • 📰 FinancialReview
  • ⏱ Reading Time:
  • 36 sec. here
  • 2 min. at publisher
  • 📊 Quality Score:
  • News: 18%
  • Publisher: 90%

Belgique Nouvelles Nouvelles

Belgique Dernières Nouvelles,Belgique Actualités

The flexible-office-space venture, valued at $US47 billion at its peak, is facing the consequences of excessive expansion that left it with unprofitable leases.

| WeWork, the SoftBank Group-backed startup whose meteoric rise and fall reshaped the office sector globally, sought US bankruptcy protection on Monday , after its bets on companies using more of its office-sharing space soured.

“WeWork could use provisions of the US bankruptcy code to rid itself of onerous leases,” law firm Cadwalader, Wickersham & Taft LLP said in a note to landlords on its website in August. Some landlords are bracing for a significant impact.WeWork grew to be the most valuable US startup, worth $US47 billion. It attracted investments from blue-chip investors, including SoftBank and venture capital firm Benchmark, as well as the backing of major Wall Street Banks, including JPMorgan Chase.

WeWork managed to amend 590 leases, saving about $US12.7 billion in fixed lease payments. But this was not enough to compensate for the fallout from the COVID-19 pandemic, which kept office workers at home.

 

Merci pour votre commentaire. Votre commentaire sera publié après examen.
Nous avons résumé cette actualité afin que vous puissiez la lire rapidement. Si l'actualité vous intéresse, vous pouvez lire le texte intégral ici. Lire la suite:

 /  🏆 2. in BE

Belgique Dernières Nouvelles, Belgique Actualités

Similar News:Vous pouvez également lire des articles d'actualité similaires à celui-ci que nous avons collectés auprès d'autres sources d'information.

WeWork files for bankruptcy amid office market downturnThe flexible-office-space venture, valued at $US47 billion at its peak, is facing the consequences of excessive expansion that left it with unprofitable leases.
La source: FinancialReview - 🏆 2. / 90 Lire la suite »