From WeWork to WeFail

The problem with WeWork’s business model was also related to the mismatch between its leases with landlords and its client base. — Bloomberg

WEWORK, perhaps the most recognised startup among unicorns with a top-of-the-range valuation of US$47bil just four years ago, has finally called it a day and thrown in the towel as the company filed for bankruptcy early last week.

Its biggest investor, Softbank, probably saw the worse outcome as all of its US$11.5bil in equity investment in the company will be wiped out while another US$2.2bil in debt papers are probably as worthless as toilet paper.