CEO Karan Virwani said this on India’s business
New Delhi: Coworking major WeWork India on Tuesday said its Indian business will not be affected in any way as it is not part of the bankruptcy proceedings filed by WeWork Global in a US court.
Bengaluru-based real estate firm Embassy Group holds 73 per cent stake in WeWork India, while WeWork Global holds 27 per cent.
WeWork India has 50 centers across seven cities, with around 90,000 desks.
In a statement, WeWork India CEO Karan Virwani said the Indian business is independent from WeWork Global and hence its operations will not be affected.
“WeWork India operates independently from WeWork Global and our operations will not be impacted in any way,” he said.
Virwani said that WeWork India is a separate entity in itself, and is not part of this strategic restructuring process.
He said the bankruptcy filing will not impact the operations of the global entity as it will retain its business and operate as normal.
The process restructures WeWork Global’s loans and leases in the US and Canada.
“During this period, we will continue to maintain the right to use the brand name as part of the operating agreement, while serving our members, landlords and partners as usual,” Virwani said.
WeWork India is backed by majority stakeholder Embassy Group, he said.
Virwani said Embassy Group is committed to investing in the future of WeWork India business.
He said, “We are completely focused on providing exceptional and innovative flexible workspace solutions to our members in the region. We are pioneers in the flexible workspace industry and we have changed the way India works.”
Virwani said WeWork India is profitable by 2021.
In August, Virwani had said WeWork India’s revenue grew 40 per cent to Rs 400 crore during the first quarter of this financial year, driven by growing demand for flexible workspace in major cities from corporates.
Its turnover during the last financial year was Rs 1,400 crore.
