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WeWork parent files for IPO

WeWork Cos. Inc. parent The We Co. plans to offer an undisclosed number of shares of its class A common stock in its IPO, according to a prospectus filed with the SEC.

The company plans to list shares on the NYSE under the symbol "WE."

According to the filing, the company has three classes of stock: A, B and C. Class A stock has one vote per share, while class B and C stock have 20 votes per share. CEO Adam Neumann owns 1,062,578 shares of class C stock

J.P. Morgan Securities LLC and Goldman Sachs & Co. LLC are acting as representatives of the underwriters, which include BofA Securities Inc., Barclays Capital Inc., Citigroup Global Markets Inc., Credit Suisse Securities (USA) LLC, HSBC Securities (USA) Inc., UBS Securities LLC and Wells Fargo Securities LLC.

The company also provided some insight into the financial performance of WeWork Cos. in the filing. For the six months ended June 30, it reported a net loss of $904.7 million, compared to a net loss of $722.9 million for the year-earlier period. The net loss attributable to WeWork Cos. was $689.7 million, compared to $628.1 million a year prior.

The net loss per share attributable to class A and class B shareholders for the first half was $4.15, compared to $3.87 a year prior.

Revenue for the first six months totaled $1.54 billion, compared to $763.8 million reported for the year-earlier period.

In terms of key performance indicators, the company highlighted workstation capacity, which it describes as an estimate of the number of workstations open at its WeWork locations, based on a best estimate from management at a location using the company's management system and sales layouts. At June 1, workstation capacity was 604,000, a 101% jump from the same time a year earlier.

Memberships, which provide access to a workstation, totaled about 527,000 as of June 1, up from 268,000 a year earlier. Enterprise memberships, or memberships for organizations with at least 500 full-time employees, represented 40% of the company's memberships as of June 1, up from 30% a year earlier. The company noted that there is no minimum number of workstations an organization must reserve to be considered an enterprise member.