WeWork has announced that chief executive officer (CEO) Sandeep Mathrani will step down on Friday 26 May and be replaced by current WeWork board member David Tolley as interim CEO.
The flexible workspace provider said Tolley will work alongside WeWork’s president and COO Anthony Yazbeck, and that lead independent director Daniel Hurwitz – who is now chairman of the board – will lead a special committee to search for a permanent CEO.
Tolley, who has more than 25 years’ experience of “creating and executing strategies that increase corporate valuation, cash flow, and revenue”, joined WeWork earlier this year as a director and most recently served as CFO of Intelsat S.A.
Mathrani, who joined WeWork as CEO in February 2020, said: “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. 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.
“Having worked with David Tolley over the last several months, I know that his financial acumen and leadership will keep WeWork moving forward as it continues to disrupt and lead the industry.”
Tolley added: “I am tremendously excited to join WeWork’s management team as the company continues to grow and progress towards free cash flow. I am also grateful to Sandeep for his work and insight to ensure this transition is seamless for our members, employees, and other stakeholders. Since joining the board earlier this year, I have been impressed with the dedication and passion that the WeWork team brings to advancing our mission of empowering tomorrow’s world of work.”
Alex Clavel, CEO of SoftBank Group International, said: “We appreciate the tremendous work Sandeep has done for WeWork over the past three years. He successfully steered the company through the depths of the pandemic, introduced new revenue streams, and helped put WeWork on a path to profitability. We wish him all the best in his future endeavours. We are delighted that David will lead WeWork as interim CEO and will work with Daniel and the special committee to identify Sandeep’s permanent successor.”
