The company has been under pressure to proceed with the sharemarket flotation to secure funding for its operations.
In the run-up to the launch of its IPO,We Company has faced concerns about its corporate governance standards,as well as the sustainability of its business model,which relies on a mix of long-term liabilities and short-term revenue,and how such a model would weather an economic downturn.
Reuters reported last week that We Company might seek a valuation in its IPO of between $US10 billion and $US12 billion ($15 billion to $17.5 billion),a dramatic discount to the $US47 billion valuation it achieved in January.
"The We Company is looking forward to our upcoming IPO,which we expect to be completed by the end of the year. We want to thank all of our employees,members and partners for their ongoing commitment,"the company said in a short statement.
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Were We Company to have pressed on with the IPO at such a low valuation,it would have represented a major turning point in growth over the past decade of the venture capital industry,which has led to the rise of start-ups such as Uber Technologies,Snap and Airbnb.
It would have meant We Company would be valued at less than the $US12.8 billion in equity it has raised since it was founded in 2010,according to data provider Crunchbase. And it would have been a blow to its biggest backer,Japan's SoftBank Group Corp,at a time when it is trying to amass $US108 billion from investors for its second Vision Fund.