- WeWork to begin trading on the New York Stock Exchange under
the ticker symbol “WE” starting October 21, 2021
- Business combination that closed on October 20, 2021 provides
WeWork with the previously announced gross cash proceeds of
approximately $1.3 billion, prior to expenses, which includes the
cash held in the trust account, a fully committed PIPE and an
equity backstop facility provided by Cushman & Wakefield
- WeWork has shown strong global momentum after reporting five
months of consecutive revenue growth
- Executive Chairman Marcelo Claure and CEO Sandeep Mathrani will
continue to lead the company as it executes its strategic plan
BowX Acquisition Corp. (NASDAQ: BOWX, BOWXU, AND BOWXW)
(“BowX”), a special purpose acquisition company, and WeWork Inc., a
leading global flexible space provider, today announced the
completion of their business combination. The combined company will
now operate as WeWork Inc. and will begin trading on the New York
Stock Exchange under the ticker symbol “WE” on October 21,
2021.
Sandeep Mathrani, CEO of WeWork, said, “Today is a
testament to the determination of our company to not only transform
our business, but also to adapt and deliver the options that
today’s workforce demands. As companies around the world reimagine
their workplace, WeWork is uniquely positioned to offer the space
and services that can power solutions built around flexibility.
Providing employers and landlords around the world with our
holistic offering of space-as-a-service, All Access and workplace
management technology will enable WeWork to lead the market in
mainstream adoption of flexible space.”
Marcelo Claure, Executive Chairman of WeWork, said,
“SoftBank is proud to support WeWork on this important day, a day
that recognizes years of hard work and executing on our vision. As
the way we live and work has fundamentally changed, WeWork is
leading one of the biggest disruptions in commercial real estate
with a workspace solution that has never been more in demand. This
milestone is just the beginning and we look forward to continuing
to support WeWork on its journey.”
Vivek Ranadivé, Board Member at WeWork and former Chairman
and Co-CEO of BowX Acquisition Corp., said, “WeWork has
long been a pioneer in establishing what the future of work could
look like, and today cements the company’s trajectory towards
achieving this mission. With a strong leadership team in place and
new platform offerings that will leverage WeWork’s decade of
expertise and proprietary technology, we can’t imagine a business
better equipped to lead continued growth in the flexible space
market. While the pandemic has created many uncertainties,
flexibility is here to stay and WeWork has the space and technology
to power this global shift.”
Today, WeWork is a transformed company primed to meet the
growing demand for flexible space solutions. As evidenced by
sequential monthly increases in revenue and occupancy in the third
quarter of 2021, WeWork has demonstrated the resiliency of its
business model and a strong long-term value proposition. Q3 2021
preliminary total revenue was $658 million, an increase of
approximately 10% compared to Q2 2021 revenue of $593 million.
Across consolidated operations, total occupancy continued to
increase to 60% at the end of Q3 2021, up from 52% at the end of Q2
2021. Consolidated gross desk sales totaled 154,000 in Q3 2021
representing approximately 9.2 million square feet sold.
Consolidated new desk sales totaled 84,000 in Q3 2021.
WeWork has also begun to realize new revenue opportunities by
digitizing its real estate offerings and productizing its existing
technology. As of Q3 2021, All Access, our pay-as-you-go or
subscription-based product, and other virtual memberships have
reached 32,000. The company has begun to build out its proprietary
workplace management platform, WeWork Workplace, to offer landlords
and members the ability to manage flex space across their
portfolios and recently announced strategic partnerships with
Hudson’s Bay Company, Cushman & Wakefield and Ivanhoé
Cambridge.
PJT Partners served as sole financial advisor and Skadden, Arps,
Slate, Meagher & Flom LLP served as legal counsel to WeWork.
UBS Investment Bank served as sole financial and capital markets
advisor to BowX. Cooley LLP served as legal counsel to BowX. UBS
Investment Bank and PJT Partners acted as joint placement agents
with respect to the private placement. Paul Hastings LLP served as
placement agent counsel and Morrison & Foerster LLP served as
legal counsel to SoftBank Group.
About WeWork
WeWork was founded in 2010 with the vision to create
environments where people and companies come together and do their
best work. Since opening our first location in New York City, we’ve
grown into a global flexible space provider committed to delivering
technology-driven flexible solutions, inspiring spaces, and
unmatched community experiences. Today, we’re constantly
reimagining how the workplace can help everyone, from freelancers
to Fortune 500s, be more motivated, productive, and connected. For
more information about WeWork, please visit us at
https://wework.com.
About BowX Acquisition Corp.
BowX Acquisition Corp. is a Special Purpose Acquisition Company
formed by management of Bow Capital, including Vivek Ranadivé and
Murray Rode. Bow Capital is a venture capital fund bridging the
best of academia, business, and entertainment. Mr. Ranadivé has
four decades of experience and is founder and managing director of
Bow Capital, as well as previous founder and CEO of TIBCO. Mr. Rode
is senior advisor of Bow Capital and former CEO of TIBCO, with over
30 years of experience in tech.
Forward-Looking Statements
Certain statements made in this press release are “forward
looking statements” within the meaning of the “safe harbor”
provisions of the United States Private Securities Litigation
Reform Act of 1995. Such “forward-looking statements” with respect
to the proposed transaction between WeWork and BowX include
statements regarding the benefits and timing of the transaction,
the anticipated timing of the trading of the combined company and
expectations regarding the combined company’s position to serve the
multi-trillion office space market and enable the future of work.
These forward-looking statements generally are identified by the
words “believe,” “project,” “expect,” “anticipate,” “estimate,”
“intend,” “strategy,” “future,” “opportunity,” “plan,” “pipeline,”
“may,” “should,” “will,” “would,” “will be,” “will continue,” “will
likely result,” and similar expressions. Forward-looking statements
are predictions, projections and other statements about future
events that are based on current expectations and assumptions and,
as a result, are subject to risks and uncertainties. Many factors
could cause actual future events to differ materially from the
forward-looking statements in this press release, including but not
limited to: (i) the effect of the announcement of the transaction
on WeWork’s business relationships, operating results, and business
generally, (ii) risks that the transaction disrupts current plans
and operations of WeWork and potential difficulties in WeWork
employee retention as a result of the transaction, (iii) the
outcome of any legal proceedings that may be instituted against
WeWork or against BowX related to the Merger Agreement or the
transaction, (iv) the ability to maintain the listing of WeWork’s
securities on a national securities exchange, (v) the price of
WeWork’s securities may be volatile due to a variety of factors,
including changes in the competitive and regulated industries in
which WeWork operates, variations in operating performance across
competitors, changes in laws and regulations affecting WeWork’s
business, WeWork’s inability to implement its business plan or meet
or exceed its financial projections and changes in the combined
capital structure, (vi) changes in general economic conditions,
including as a result of the COVID-19 pandemic, and (vii) the
ability to implement business plans, forecasts, and other
expectations after the completion of the transaction, and identify
and realize additional opportunities. The foregoing list of factors
is not exhaustive. You should carefully consider the foregoing
factors and the other risks and uncertainties described in the
registration statement on Form S-4, the proxy statement/prospectus
and other documents filed or that may be filed by BowX or WeWork
from time to time with the SEC. These filings identify and address
other important risks and uncertainties that could cause actual
events and results to differ materially from those contained in the
forward-looking statements. Forward-looking statements speak only
as of the date they are made. Readers are cautioned not to put
undue reliance on forward-looking statements, and WeWork and BowX
assume no obligation and do not intend to update or revise these
forward-looking statements, whether as a result of new information,
future events, or otherwise. Neither WeWork nor BowX gives any
assurance that the combined company will achieve its
expectations.
Category: Investor Relations
Source We Work
View source
version on businesswire.com: https://www.businesswire.com/news/home/20211020005910/en/
Investors Chandler Salisbury investor@wework.com
Media Nicole Sizemore / Julia Sullivan
press@wework.com
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