WeWork China operates co-working spaces across more than 12 cities, having opened over 100 spaces since 2016 and claims about 65,000 members. It offers WeWork's branded flexible office products and has launched an on-demand service for customers who do not want long-term leases. The unit expanded rapidly and has been described as cash-burning, a dynamic that contributed to layoffs amid the sale. Following the transaction, WeWork China will transition from a multinational subsidiary into a Chinese-owned company while continuing cooperation with WeWork's global headquarters to maintain brand consistency. The new owner plans to localize decision-making, product, business and operations and to pursue partnerships with local communities, real estate firms, and Chinese enterprises. Michael Jiang, an operating partner at Trustbridge Partners, will serve as acting chief executive. WeWork China operates flexible coworking offices and membership services, serving creators, small businesses, and large companies. The business currently reports nearly 40 locations and about 20,000 members, and is also active in Hong Kong as part of Greater China. It acquired rival Naked Hub in a reported $400 million deal, which added 24 locations and roughly 10,000 members to its footprint. The company was founded last year and has grown rapidly through organic openings and M&A. The new capital will fund an expansion into six additional cities — Shenzhen, Suzhou, Hangzhou, Chengdu, Nanjing, and Wuhan — aiming to greatly increase its city coverage. WeWork China is positioning its network to support local firms going global and global firms entering China.

Total raised

$700M

Funding rounds

2

Latest round

Equity

Latest activity

Sep 2020