Saturday 24 August 2019 4:45 pm

Workspace firm IWG in talks to list standalone US business in New York

Founder of International Workplace Group (IWG), Mark Dixon, is in talks with investment banks to create a spin off its US business to be listed as a separate company in New York, according to Sky News.

Dixon’s standalone business would become a publicly traded rival to WeWork, which is targeting a valuation of $50bn from its IPO in the next few weeks.

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IWG has told bankers it will only hire them if it has no role in WeWork’s flotation, although the plan is still at an early stage.

No banks have yet been appointed to work on the deal, Sky News understands.

IWG’s current market capitalisation in London is £3.64bn and Dixon believes a US standalone business could be worth as much as £3bn.

Last year the company’s revenue was £2.5bn with a third coming from US operations.

The company has over 1,000 locations across the US, making it the group’s largest single market.

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A listing on the New York Stock Exchange would likely come soon after WeWork, which is still losing money and has drawn scepticism about its valuation.

It is the latest plan from Dixon who has been attempting to unlock value from IWG’s portfolio.

IWG declined to comment on the reports.