WeWork CEO says company is 'here to stay' as it renegotiates 'nearly all our leases'
- WeWork's CEO published a letter on Wednesday laying out the office-sharing company's plan to renegotiate "nearly all our leases" in an effort to stay solvent.
- The company recently told investors that it may struggle to remain a "going concern," and it just underwent a 1-for-40 reverse stock split to get its shares trading above $1.
- Once valued at $47 billion, WeWork's market cap is now below $200 million.
A WeWork co-working office space in Berkeley, California, on Wednesday, Aug. 9, 2023.
David Paul Morris | Bloomberg | Getty Images
WeWork CEO David Tolley, who took over the office-sharing company in an interim role in May, wrote in a public letter on Wednesday that the embattled business is "here to stay" and that it's immediately undergoing an effort to rework its leases worldwide.
"Today, we are kicking off a process of global engagement with our landlords to renegotiate nearly all our leases," Tolley wrote. "As part of these negotiations, we expect to exit unfit and underperforming locations and to reinvest in our strongest assets as we continuously improve our product."