Damaged Wing? Startup lost altitude in sale by WeWork

The Wing’s valuation has fallen to $200M from $365M

Mar.March 06, 2020 12:05 PM
The Wing CEO Audrey Gelman (Credit: Getty Images)

The Wing CEO Audrey Gelman (Credit: Getty Images)

As WeWork continues to shed its non-essential assets, the valuation of another startup it invested in took a significant hit.

In 2018, before WeWork’s botched attempt at an initial public offering, the Wing was valued at $365 million. In January, WeWork’s parent company sold its stake in the female-focused co-working company in a deal valuing the Wing at $165 million, according to Bloomberg. Now, investors now say the startup is worth about $200 million.

WeWork recorded a $17 million loss on the Wing last year, according to Bloomberg.

The Wing, which has 12 locations in the U.S. and in London, plans to open locations in Toronto, Seattle and Los Angeles. Its initial investors included Serena Williams and SoulCycle co-founders Julie Rice and Elizabeth Cutler. The startup’s former all-women policy came under investigation in 2018 by New York City’s Commission on Human Rights.

After WeWork’s botched IPO last year, the SoftBank-backed company began selling off its non-core assets at a discount — including Managed by Q, which it sold at a 90 percent discount to a competitor. [Bloomberg] — Georgia Kromrei

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