New York-based WeWork, the provider of a shared office, which started its journey in the year 2010,has filed the paperwork for listing its shares on United States Stock Market. The company has its branches in London alongside New York along with several other cities around the globe and is already the largest provider of private office space in those two cities on either side of the Atlantic.
The firm comes up with shared space for running the office to various companies. This allows its clients to shrink as well as grow their desks in terms of numbers for a specific period, as needed. However, the company is yet to see a profit, with the losses incurred in 2018 doubling to $1.9 billion.
The business model that it follows is mainly based on the arrangement of short-term revenues as well as long-term liabilities.
However, the rating agencies have accredited the company with risky scores, as it had to borrow in order to expand its funds. This is in spite of the fact that the company operates in over 600 cities all around the world.
However, the business model that WeWork follows has a lot of flexibility and this has been popular with the smaller companies as well as their employees, who like this contemporary collaborative ambiance of the shared office. Even the comparatively bigger employers are also in love with this new concept, as they do not have to opt for long-term leases on expansive, tailor-made office complexes or buildings.
The Company has confidentially filed registration for public stock market listing in the month of December. This will enable the company to commence its listing process before they come up with key information regarding their financial status. The firm, however, has not provided any info regarding the amount of money it is planning to get.