Adam Neumann, CEO of WeWork.
Eduardo Munoz | Reuters
Adam Neumann, co-founder of WeWork, and SoftBank are nearing a settlement agreement that would entitle the former CEO to a payout of $ 480 million for approximately 25% of his stake in the company, a person familiar with the matter told Deidre Bosa of CNBC. That’s half the number of stocks SoftBank originally wanted to buy, said that person.
Should a deal be closed, SoftBank would buy approximately $ 1.5 billion worth of shares from early WeWork investors. The transaction would represent 10.5% of WeWork’s stock, with a price of $ 19.19 per share, which is the originally agreed price, the person said. Neumann would remain a major shareholder in the company.
SoftBank reached out to Neumann after reports last month that WeWork would have talks with a Bow Capital Management-affiliated SPAC.
Talks between Softbank and Neumann were first reported on Monday by the Wall Street Journal.