Money

What a WeWork collapse represents for startup era

Published

2 years ago

August 10, 2023

In a stark reflection of WeWork Inc.’s current financial challenges, the company’s corporate bonds have taken a severe hit in the market.

The hourly office-rental giant issued a cautionary statement regarding its solvency, leading to a sharp decline in bond prices, far surpassing the dip in its stock value.

The 7.875% notes due on May 1, 2025, with a total value of approximately $165 million, experienced a precipitous drop in value, trading at around 12.55 cents on the dollar.

This represents a staggering 63% decline from their previous value of 34.13 cents on the dollar. The decline is illustrated in a chart provided by BondCliQ Media Services.

The bond-market turmoil hasn’t spared WeWork’s equity either.

The company’s stock price, trading under the ticker symbol WE, plummeted by about 40% to reach 12.6 cents a share. This significant decrease follows WeWork’s admission of substantial doubts about its ongoing viability.

Survival plan

WeWork’s survival now hinges on successfully executing a plan aimed at enhancing liquidity and profitability over the next year. The company’s stock has languished below $1 per share since February.

Despite narrowing its second-quarter loss to $397 million, or 21 cents a share, WeWork remains under pressure.

While revenue increased to $844 million, up from $815 million during the same period, the company’s financial performance fell short of analyst estimates.

The market reaction is evidenced by WeWork’s bonds, which have faced ten consecutive days of decline leading up to the company’s quarterly update. This decline has signaled to investors that the market sentiment around WeWork’s financial prospects has grown increasingly negative.

Ongoing struggle

The situation underscores WeWork’s ongoing financial struggles, as the company has been grappling with overdue payments, accumulating 402 late-paid bills, with a total of $799,000 in late bills.

These financial issues have prompted concern among investors and analysts, who are questioning the company’s long-term viability.

While equity investors bear the brunt of a company’s failure, bondholders typically retain a portion of their principal even in a bankruptcy scenario.

WeWork’s predicament serves as a cautionary tale, raising questions not only about the flexible office space market but also about the company’s internal management and growth strategies.

Money

AI funding surge: How Nvidia and Oracle are reshaping capital markets

AI infrastructure revolutionizes capital raising, with Nvidia, OpenAI, and Oracle leading; explore funding shifts and future impacts.

Published

5 hours ago

February 4, 2026

Harvey Vargas

AI infrastructure revolutionizes capital raising, with Nvidia, OpenAI, and Oracle leading; explore funding shifts and future impacts.

The AI infrastructure boom is transforming how companies raise capital, with Nvidia and OpenAI leading the charge. Explore the shifts in funding frameworks and what they mean for the future of AI investment.

Oracle is aiming to raise $45 to $50 billion, signalling confidence in the growing AI market. We break down how e

Equity issuance, bond deals, and circular financing are influencing long-term infrastructure development.

Despite rapid growth in AI usage, monetisation challenges remain beyond 2027.

Brad Gastwirth from Circular Technologies explains why financing won’t be a bottleneck and what traditional structures mean for the evolving AI landscape.

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#AIInvestment #Nvidia #Oracle #OpenAI #TechFinance #AIInfrastructure #CapitalMarkets #FutureOfAI

Money

Australia’s inflation hits 3.8%: Budget decisions under pressure

Australia’s inflation hits 3.8%, raising concerns for households; Dr. Enticott discusses implications for everyday Australians and economic planning.

Published

1 day ago

February 3, 2026

Harvey Vargas

Australia’s inflation hits 3.8%, raising concerns for households; Dr. Enticott discusses implications for everyday Australians and economic planning.

Australia’s inflation has surged to 3.8%, sparking concern for households and businesses. Experts warn that rising prices could threaten financial stability if the government does not act in the upcoming budget.

Dr Steven Enticott from CIA Tax joins Ticker to break down what this inflation spike means for everyday Australians. He also explains why inflation above the Reserve Bank’s target band is particularly significant and how it affects economic planning.

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#AustraliaInflation #EconomicUpdate #Budget2026 #RBA #FinancialNews #BusinessImpact #HouseholdCosts #TickerNews

Money

Wall Street gains momentum amid tech and earnings surge

U.S. stocks rose Monday, driven by Oracle gains, as investors overlooked recent silver and bitcoin losses ahead of earnings week.

Published

2 days ago

February 3, 2026

Harvey Vargas

U.S. stocks rose Monday, driven by Oracle gains, as investors overlooked recent silver and bitcoin losses ahead of earnings week.

U.S. equities climbed on Monday as Wall Street kicked off a new month of trading. Investors looked past recent losses in silver and bitcoin, with optimism returning to major indices. The S&P 500 rose 0.7%, led by gains in Oracle shares following the company’s announcement to raise up to £50 billion for cloud capacity.

The Dow Jones Industrial Average surged 501 points, while the Nasdaq Composite increased 0.9%. Analysts note that the broader market is showing resilience despite mixed signals from tech and commodities.

More than 100 S&P 500 companies are expected to report earnings this week. Strong growth is predicted, even as some high-profile sell-offs continue to make headlines.

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