WeWork

WeWork's SPAC journey was its second attempt at going public, following the spectacular implosion of its planned 2019 IPO that revealed massive losses and questionable governance under founder Adam Neumann. After Neumann was ousted and SoftBank took control, WeWork merged with BowX Acquisition Corp, a SPAC led by former Platinum Equity executive Vivek Ranadivé, in October 2021 at a $9 billion valuation — a fraction of its once-claimed $47 billion.

The post-merger reality was grim. WeWork continued hemorrhaging cash, burning through hundreds of millions per quarter on long-term leases signed during its aggressive expansion phase. The co-working model required massive upfront capital for buildouts while generating short-term flexible revenue that couldn't cover costs.

COVID-19's shift to remote work dealt a devastating blow. Occupancy rates remained stubbornly below breakeven levels even as the pandemic waned. WeWork attempted to renegotiate or exit leases, but the sheer scale of its obligations — over $13 billion in long-term lease commitments — proved insurmountable.

In August 2023, WeWork issued a going-concern warning, and by November 2023, it filed Chapter 11. The company emerged from bankruptcy in mid-2024 with a dramatically smaller footprint, having rejected hundreds of leases. For SPAC investors, the result was a total loss — the stock was canceled in bankruptcy proceedings.