WeWork India Assures Independence from Global Unit amidst Bankruptcy Filing

WeWork India has clarified that its operations are separate from WeWork Global and that the latter’s recent bankruptcy filing in the US will not affect its stakeholders in India. WeWork Inc, a co-working company that was once valued at $47 billion, has faced challenges following the pandemic.

In a statement posted on X (formerly Twitter), WeWork India stated, “WeWork India is a separate entity from WeWork Global. The recent Chapter 11 filing will not impact our members and stakeholders in India. We will continue to operate and serve our members, landlords, and partners as usual. Committed to the growth and success of our business.”

WeWork India also mentioned that its global unit has initiated a strategic reorganization process in the US and recognition proceedings in Canada to improve its business’s economics. By filing for bankruptcy, the company can continue its operations while developing a debt repayment plan.

As of June 30, WeWork maintains a real estate presence in 777 locations across 39 countries, but it remains unprofitable. However, WeWork India has been profitable since 2021. The company stated, “The process restructures the debts and the leases of WeWork Global in the US and Canada. During this period, we will continue to hold the rights to use the brand name as part of the operating agreement, while serving our members, landlords, and partners as usual.”

WeWork India emphasized that it is backed by the majority stakeholder Embassy Group and is dedicated to investing in the future of its business.