WeWork sells office management platform Managed by Q

March 04, 2020 09:34
WeWork has sold d office management company Managed by Q in less than a year after acquiring it. Photo: Reuters

WeWork, the shared workplace operator that has faced a lot of troubles recently, has sold office management company Managed by Q for an undisclosed sum.

The business was sold to office management platform Eden less than a year after WeWork acquired the startup. 

The move comes as WeWork is under pressure to cut costs after it recorded a spectacular plunge in valuation to less than US$8 billion from US$47 billion last year, which in turn derailed its initial public offering, Reuters noted.

The sale of Managed by Q is part of a series of steps taken by WeWork recently to turn itself around.

WeWork bought Managed by Q in April last year for US$220 million in cash and stock, a few months before its IPO imploded.

Both Managed by Q and Eden run software platforms that allow managers to contract out services such as cleaning, handymen, and tech support.

Managed by Q, along with their existing clients and vendors, will be funneled into Eden following the deal.

According to some reports, WeWork sold Managed by Q at a huge discount, believed to be as much as 90 percent. 

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