Private investors have pushed WeWork’s valuation to "truly ridiculous levels" that are unlikely to match public perceptions once the company lists, according to Guru Focus. WeWork’s aggressive growth has been fuelled by intense cash burn that's set to escalate, the website said. It will require $$2 billion in external financing through 2026, analysts estimate. The IPO is likely to be seen as an opportunity to exit by many current investors and CEO Adam Neumann’s notion of valuing the company based on its "energy and spirituality" rather than financial metrics is unlikely to play well with Wall Street.
Private investors have pushed WeWork’s valuation to "truly ridiculous levels" that are unlikely to match public perceptions once the company lists, according to Guru Focus. WeWork’s aggressive growth has been fuelled by intense cash burn that's set to escalate, the website said. It will require $19bn in external financing through 2026, analysts estimate. The IPO is likely to be seen as an opportunity to exit by many current investors and CEO Adam Neumann’s notion of valuing the company based on its "energy and spirituality" rather than financial metrics is unlikely to play well with Wall Street.