Adam Neumann, the co-founder of WeWork, has stepped down from his position as chief executive with immediate effect as parent company We Company attempts to get a stock market debut back on track.
Neumann will now act as non-executive chairman of the board, the company said, while Artie Minson, formerly WeWork’s co-president and chief financial officer, and Sebastian Gunningham, formerly vice chairman, will become co-chief executives.
The leadership change follows weeks of speculation around whether revelations in We Company’s IPO documents around corporate governance issues and Neumann’s leadership of the company would deter investors from backing a stock market float. More recently, reports of the co-founder’s lifestyle and drug use have focused attention even more keenly on the chief executive personally.
“While our business has never been stronger, in recent weeks, the scrutiny directed toward me has become a significant distraction, and I have decided that it is in the best interest of the company to step down as chief executive,” Neumann said.
In a joint statement, Minson and Gunningham said: “Our core business is strong and we will be taking clear actions to balance WeWork’s high growth, profitability and unique member experience while also evaluating the optimal timing for an IPO.”
The company recently said that listing would complete before the end of the year, although it had earlier been reported that it would take place in September.
