WeWork CFO Resignation Marks Second Major Exit In A Week

(Reuters) -WeWork Inc CFO Andre Fernandez intends to resign on June 1, the company said on Wednesday, less than a year into the role and days after top boss Sandeep Mathrani announced his exit from the workspace provider.

Chief Accounting Officer Kurt Wehner, who joined WeWork in October 2020, will take over as CFO. He previously served as the accounting chief at media firm Discovery Inc.

Fernandez’s resignation was not a result of any disagreement, the company said.

“I would like to thank Andre for his partnership and dedication to the company as he helped to restructure our debt and drive the company towards EBITDA profitability,” said outgoing CEO Mathrani.

WeWork in March struck deals to cut its debt by about $1.5 billion and extend the date of some maturities to preserve cash as it struggles to turn a quarterly profit since going public.

The company, which benefited from a pandemic-driven shift to flexible work outside traditional offices, has been impacted by mass layoffs across the tech sector over the past nine months.

WeWork shares have fallen about 87% so far this year. The flexible work provider, which was valued at $47 billion in 2019, now has a market capital of $404.7 million as of last close.

(Reporting by Kannaki Deka in Bengaluru; Editing by Devika Syamnath)