The We Company, owner of Soho, NY-based shared online workspace provider WeWork, had stepped up efforts including addition of a female member, Frances Frei, at its all-male management board, as the company had been seeking to a lucrative initial public offering, meanwhile remarking that the WeWork CEO would return back a $5.9 million in payments in order to use the trademarked word “WE”.
In point of fact, latest WeWork move was followed by a raft of investors’ criticism after WeWork filed for an IPO listing last month, which revealed an extensive alongside unusual tie-up between its controlling shareholders and the online-based office space provider.
Aside from that, according to WeWork’s IPO filing last month, the NY-based company CEO, Adam Neumann’s stance as of being a landlord of the company had added to further scrutiny. Nonetheless, despite Wednesday’s (Sept.
4th) sweeping overhaul of its management board and a return of $5.9 million for using the trademarked word” We” might not be sufficient to deal with a chorus of concerns on CEO Neumann’s grasp over the company, cautioned governance advocates on Wednesday (Sept.
4th). On the flipside, expressing cautious optimism over the company’s upcoming IPO, a long-time industry veteran alongside a finance lecturer at the University of Pennsylvania’s Wharton School, David Ericson said followed by the reveal of latest reform, “These are positive steps.
The challenge is, from my vantage point, you’ve got a CEO who is going to control decision making that has to date not demonstrated the good judgment that I would expect from the CEO of a public company. ”