WeWork CEO Sandeep Mathrani has revealed that once the company has become profitable, it will revisit plans to go public again.
This comes just one year after the firm’s tumultuous failed IPO led to layoffs, reformatting its C-suite and cutting out its ventures outside of real estate.
“I’m a big believer in one step at a time so let’s hit profitable growth first, and we’ll then revisit the IPO plan,” said Mathrani during a Zoom video conference call. “Nazar na lag jaye,” which is a Hindi expression that means to protect someone from the evil eye.
If and when the IPO happens, the company’s units and franchisees across the globe will roll into the parent per existing agreements.
Just last week, Fitch Ratings knocked WeWork’s credit rating down a notch, indicating that it could default on its obligations. However, Mathrani says the firm is on its way to hitting profitability by 2021.
Additionally, Mathrani said that the company does not owe former CEO Adam Nuemann any more money from the $185 million consulting deal with SoftBank.
“Our lawyers said we don’t owe him any money,” said Mathrani. “It’s between SoftBank, the other investors and him.”