Mathrani quits WeWork, joins Sycamore Partners

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NEW YORK- WeWork Inc. (NYSE: WE), the leading global flexible space provider,  announced May 16, 2023, that Sandeep Mathrani will be stepping down as Chairman, CEO and as a director of WeWork effective May 26.

Current WeWork Board member David Tolley has been appointed as interim CEO. Reuters reported Mathrani is joining Sycamore Partners, a private equity firm, as a director to lead its real estate activity.

Since joining WeWork as CEO in February 2020, Mathrani has led the Company through a historic transformation, the press release from WeWork said.

“Under Mathrani’s leadership, in the face of a global pandemic and challenging macroeconomic environment, WeWork has made significant progress in cutting costs, growing revenue across all business segments and establishing additional lines of revenue through new products including WeWork All Access and WeWork Workplace, while also restructuring and strengthening its balance sheet, and optimizing its global real estate portfolio,” the Company added.

Highlights listed by WeWork, as Mathrani’s achievements include:

• Right-sized Cost Structure: Since Q4 2019 WeWork has eliminated over $2.3 billion of recurring costs, through reductions in SG&A, optimizing the global real estate portfolio and streamlining operating expenses.

• Sequential Revenue Growth: While navigating the global pandemic, the Company has consistently grown revenue – reaching $849 million in Q1 2023 from $593 million in Q2 2021.

• Restructured and Strengthened Balance Sheet: Through its recent debt restructuring the Company significantly deleveraged its capital structure by eliminating $1.2 billion in debt while also enhancing liquidity with over $1 billion in new funding and new and rolled capital commitments. 

“It has been a privilege to lead WeWork during a notable transformation. Over the last three years we have restored the brand, grown revenue, right-sized the company, restructured our debt, and developed new product lines,” Mathrani is quoted saying in the press release.

“I am grateful to have been able to lead such a resilient group of employees who through it all stepped up to meet and beat every challenge. I am firm in my belief that this is WeWork’s moment,” Mathrani added.

Mathrani did his Bachelor of Engineering, Master of Engineering and Master of Management Science from Stevens Institute of Technology, Hoboken, New Jersey, the WeWork website bio says.

Prior to joining WeWork, Mathrani served as Chief Executive Officer of Brookfield Properties’ Retail Group and Vice-Chairman of Brookfield Properties from 2018 to 2020.

Before that, he served as Chief Executive Officer of GGP Inc. for eight years, during which the company was recapitalized in November 2010, experienced eight years of growth, and in August 2018 was sold to Brookfield Property Partners.

He was President of Retail for Vornado Realty Trust, where he oversaw the firm’s U.S. retail real estate division and operations in India before joining GGP Inc.

Before that, he spent eight years as Executive Vice President at Forest City Ratner, where he was tasked with starting and growing a new platform of retail properties across the five boroughs of New York City.

He is a member of the board of directors of numerous well-known, large companies.