WeWork, the US office space company SoftBank once valued at $47bn, has warned for the first time that it faces “substantial doubt” about its ability to continue as a going concern.
In a second-quarter earnings report that fell short of its guidance from three months ago, WeWork said its outlook depended on a series of plans including further restructuring and a search for additional capital over the next 12 months.
David Tolley, who has served as interim chief executive officer since Sandeep Mathrani stepped down as CEO in May, blamed challenging economic and property market conditions for a weaker than expected performance in recent months.