Re:WeWork says will file to withdraw IPO
by number_six on Monday September 30, 2019 @01:26PM
(#21117653)
The valuation is from Softbank consistently buying rounds of equity at higher and higher valuations that they themselves were creating.
Softbank bought in, so this is more valuable, so Softbank will buy in again at a higher valuation, so this is more valuable, so Softbank will buy in again at a higher valuation; and round and round it went until we hit ~$40B
Also, valuations are so nebulous and ungrounded in reality at this point. Who is to say what anything is worth. You put something out there and someone is willing to pay billions for it, who are you to say that isn't the right value. There are a lot of problems to pin on Adam, I don't think the valuation is one of them.