WeWork goes bankrupt after 350 million dollars investment

WeWork, the world's largest co-working network, plans to file for bankruptcy early next week. This was reported by WSJ. The company, backed by SoftBank Group, is struggling with a huge debt pile and huge losses.
This year, the value of the company's shares has fallen by 96%. On October 2, 2023, WeWork defaulted on interest payments to its bondholders. This triggered a 30-day grace period during which the company must pay. Failure to comply with this condition will constitute a default. The main supporter of the company is SoftBank.
According to financial reports cited by the WSJ, the company spent $530 million in the first half of 2023. As of June, it had about $205 million in cash left in its accounts.
WeWork was founded by Adam Newman in 2010 and develops a network of coworking spaces around the world. In 2019, Newman had to step down as the head of the company after complaints from investors. Due to doubts about the viability of the business model, WeWork's value fell from $47 billion to $20-30 billion, and it was only able to go public in 2021.
In August 2022, founder Adam Newman managed to get an investment of about $350 million from the Andreessen Horowitz fund (a16z), despite the fact that he bought the plane with investments.