Signage is seen on the entrance of the WeWork workplaces on Broad Road in New York.
David ‘Dee’ Delgado | Bloomberg | Getty Pictures
WeWork has sold its enterprise administration software program firm Teem and its minority stake in co-working start-up The Wing, the corporate introduced Wednesday.
Artie Minson, co-CEO of WeWork, mentioned in a press launch that the gross sales are a part of the corporate’s effort to give attention to the core co-working enterprise. WeWork detailed this technique final November in a “90-day sport plan” that mentioned WeWork would divest all of its non-core companies in an effort to show across the troubled co-working firm.
“Final quarter, we articulated a long-term plan for disciplined development and a transparent path to profitability, and we proceed to execute on this plan every day,” Minson mentioned in an announcement. “These gross sales mark the most recent progress in WeWork’s evolution and permit our gifted crew to give attention to the core enterprise and delivering an distinctive expertise for our members.”
Teem was acquired by iOFFICE, a office expertise firm. WeWork acquired Teem in September of 2018.
WeWork mentioned it bought its minority stake in The Wing to a consortium of latest and present traders within the co-working start-up. Among the many traders within the consortium are Alphabet‘s enterprise arm, GV, in addition to enterprise corporations Sequoia Capital and New Enterprise Associates, The Wing mentioned in a press launch. Actress Mindy Kaling additionally participated within the funding spherical.
Phrases of the deal weren’t disclosed, and WeWork declined to remark past its press launch. Representatives from Alphabet and The Wing weren’t instantly out there for remark.
WeWork has regularly bought off quite a few its companies in latest months, together with advertising and marketing firm Conductor in December. The corporate has additionally “wound down” Spacious, a restaurant co-working startup it acquired in August of 2019, and will shutter early schooling college WeGrow on the finish of the 2020 college yr.
Gross sales of different non-core companies, together with occasion organizing platform Meetup and workplace administration firm Managed by Q, are within the course of, the corporate mentioned.
The strikes comply with extra efforts by Minson and fellow WeWork co-CEO Sebastian Gunningham to trim the fats on the firm. Since Adam Neumann exited the company final September, the corporate additionally laid off 2,400 staff final November.
WeWork has been working to discover a clear path to profitability because the firm pulled its IPO filing final September, after traders balked at its mounting losses and weird company governance construction. WeWork was poised to expire of money, however secured an eleventh-hour bailout deal from SoftBank.