Arab Press

بالشعب و للشعب
Saturday, Feb 22, 2025

WeWork London Building Deals Falter Amid IPO Market Fallout

WeWork London Building Deals Falter Amid IPO Market Fallout

Saudi Arabia-based Sidra Capital has pulled out of a 90 million-pound ($112 million) deal as the flexible-office giant’s planned initial public offering got an increasingly rocky reception from investors, according to people familiar with the matter, who asked not to be identified discussing private negotiations.

Separately, talks have stalled on the sale of WeWork Waterloo, which the company describes as the largest co-working facility in the world, according to other people with knowledge of the negotiations. Singapore-based Bright Ruby Resources Pte Ltd. had agreed last month to buy it and an adjoining property leased to Royal Dutch Shell Plc for about 850 million pounds. It’s not clear what impact WeWork’s roller-coaster IPO has had on Bright Ruby’s appetite for the deal, the people said.

We Co., which owns WeWork, pushed back its IPO this week to buy time to overcome concerns about its governance, slashed valuation and business prospects. The decision sent the company’s bonds plunging and added a sour note to a medley of high-profile, but frequently disappointing, IPOs this year. Shortly after the announcement, WeWork made a small round of job cuts in a New York City unit.

The delay also comes at a critical time for major backer SoftBank Group Corp., which is trying to raise money for a successor to its Vision Fund. SoftBank’s biggest investors, including Saudi Arabia’s Public Investment Fund, are reconsidering how much to commit to the new vehicle as the Japanese conglomerate’s bet on WeWork sours.

WeWork has lease obligations of $47 billion and continues to burn cash to fund its rapid expansion, putting pressure on the company to raise new capital. But the company’s model of signing long leases, then renting out short-term space to members, as well as its complex relationship with co-founder Adam Neumann, have polarized investors assessing the planned offering.


Skate Ramp


WeWork Waterloo, originally known as Two Southbank Place, is fully leased to WeWork and boasts a skate ramp, retro arcade games and a library in its cavernous lobby. Negotiations on a sale, which were first reported by React News in August, are ongoing and there’s no certainty about their outcome, one of the people said.

Representatives of Almacantar SA, the developer selling the buildings in London’s Waterloo district, and WeWork declined to comment. A representative for Bright Ruby wasn’t immediately able to comment.

Sidra Capital was in talks to buy 70 Wilson Street near London’s financial district from a venture led by Columbia Threadneedle Investments, the people said.

Representatives of Sidra Capital, Columbia Threadneedle and WeWork declined to comment.

Newsletter

Related Articles

Arab Press
0:00
0:00
Close
The negotiation teams of Trump and Putin meet directly, establishing the groundwork for a significant advance.
Israeli Minister Urges Hamas to Surrender and Depart from Gaza.
Iran Considers Moving Its Capital Due to Urban Difficulties
Israel and Hamas Finalize Sixth Exchange of Hostages and Prisoners During Continuing Gaza Ceasefire
Leaders of BRICS to Gather in Rio de Janeiro for July Summit
Muhsin Hendricks, a trailblazing openly gay imam, was killed in South Africa.
Trump's special envoy for hostage affairs cautions Hamas against challenging Trump before Saturday's deadline.
Two British citizens apprehended in Iran amid escalating tensions.
Israel Issues Threat of Military Action as Hostage Negotiations with Hamas Continue
Hamas Coordinates Worldwide Solidarity Marches in Reaction to U.S. and Israeli Initiative
Israel Warns of Ending Gaza Ceasefire Due to Hostage Situation
King Abdullah II Dismisses US Proposal to Relocate Palestinians, Commits to Welcoming Gaza Children.
Lebanon Installs New Government with Hezbollah's Impact on Key Ministries
Report: Iran Attempted to Assassinate Trump During Election Campaign
U.S. Authorizes $7.4 Billion Arms Sale to Israel
Iran's Supreme Leader Rejects Nuclear Negotiations with the U.S.
UN Chief Denounces Trump's Gaza Plan, Cautions Against Ethnic Cleansing
Pressure Intensifies for a Free Trade Agreement between the UK and GCC in Light of Economic Difficulties
Israel to Withdraw from UN Human Rights Council Due to Accusations of Anti-Semitism
EU Reaffirms Gaza's Essential Role in Future Palestinian State Following Trump's Proposal
Iranian Currency Reaches All-Time Low Amid US 'Maximum Pressure' Initiative.
UN Reaffirms Ban on Deportation from Occupied Territories Amid US Gaza Proposal
Palestinians Fear Repeat of 'Nakba' Amid Ongoing Crisis in Gaza
UAE Aids in the Exchange of 300 Prisoners Between Russia and Ukraine
Egypt Seeks Global Backing for Two-State Solution Following US Proposal for Gaza Plan
Trump's Suggestion to 'Seize Control' of Gaza Represents a Significant Shift in US Policy
French President is the first EU leader to extend congratulations to the new Syrian President.
Tunisian President Appoints New Finance Minister Amid Economic Crisis
Trump Suggests U.S. 'Takeover' of Gaza, Prompting Global Worries
Trump's Proposal for Gaza Provokes Global Debate
President Trump Suggests Moving Gaza's Palestinian Population
Aga Khan IV, Spiritual Leader and Philanthropist, Dies at 88
Erdogan and Syria's Sharaa Talk About Collaboration to Counter Kurdish Militants
Trump Suggests U.S. Control of Gaza Strip Amid Ongoing Conflict
Trump Resumes 'Maximum Pressure' Strategy to Limit Iran's Oil Exports.
Ex-British Soldier Sentenced for Espionage on Behalf of Iran and Fleeing from Prison
Gazans in Egypt Reject Displacement, Struggle with Return to War-Torn Home
Queen Rania Urges Protection of Children’s Rights at Vatican Summit
Hamas Officials Ready to Begin Negotiations for Phase Two of Gaza Truce
Trump Expresses Caution Over Gaza Ceasefire as Netanyahu Visits Washington
Oman to Host 18th Indian Ocean Conference on Maritime Security and Trade
Emir of Kuwait Meets BlackRock CEO for Talks on Investment Opportunities
Queen Rania of Jordan Calls for Global Action on Children’s Rights at Vatican Summit
Egyptian President El-Sisi Invited for White House Meeting Following Jordanian King’s Visit
Queen Rania Calls for Protection of Children’s Rights at Vatican Summit
Israeli Military Operations Continue on Lebanon Border Amid Ceasefire Tensions
Israeli Hostage's Release Highlights Uncertainty Over Family's Fate
Israeli Military Operations Escalate in Southern Lebanon Amid Hezbollah Tensions
Zayed Award for Human Fraternity Announces 2025 Honorees
Kuwait Anticipates a 12% Increase in Budget Deficit for the 2025-2026 Fiscal Year
×