On Thursday, WeWork, the US-based office sharing company, reported selling control of its China unit to Trustbridge Partners, one of the company investors. The move came after the company witnessed low occupancy rates in the competitive China market.
The action will take the China division away from the parent US division, which encountered fundraising issues after a failure to go public in 2019. The company also received $200 million from the private equity firm investors, along with the deal.
In 2019, the company co-founder and CEO Adam Neumann resigned from the firm due to the organisation dropping its IPO as traders and investors became cautious of its business model, losses, and corporate governance.