A week after WeWork postponed its IPO, CEO Adam Neumann has reportedly resigned. However, Neumann will remain in his role as the non-executive chairman of the We Company, the parent company of the shared office company.
WeWork vice chairman Sebastian Gunningham and Artie Minson, co-president and chief financial officer, have been promoted to co-CEOs as WeWork searches for a new permanent chief executive.
Neumann is under scrutiny for what investors called an erratic management style—alongside his personal controversies, according to the Wall Street Journal. His departure comes after a disastrous attempt to take the company public. Last week, We Company delayed the share sale after WeWork’s estimated market value was slashed to $15 billion, well below the estimated private market value of $47 billion.
WeWork has yet to turn a profit, generating $1.8 billion in revenue while losing $1.9 billion in 2018.
It’s not clear when the IPO will take place, the WSJ reported. The search for a new CEO could delay the offering even further.