WeWork CEO Adam Neumann stepped down on Tuesday, the company said in a press release. He will stay on as non-executive chairman of The We Company. Sebastian Gunningham and Artie Minson will serve as WeWork's co-CEOs.
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"As co-founder of WeWork, I am so proud of this team and the incredible company that we have built over the last decade," Neumann said in a press release. "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's resignation comes just days after The Wall Street Journal said investors, including SoftBank CEO Masayoshi Son, the company's largest, were in favor of ousting him as CEO.
WeWork last Monday shelved plans for its initial public offering until next month at the earliest, due to investor concerns over its business model, valuation and governance standards, which allow Neumann’s shares to have 20 times the voting power of ordinary shareholders’.
The office-space provider in January achieved a $47 billion valuation, but that could fall to as low as $10 billion if/when the company goes public.