Adam Neumann, CEO of WeWork.
Eduardo Munoz Reuters
WeWork co-founder Adam Neumann and SoftBank are approaching a settlement agreement that would entitle the former CEO to a $ 480 million payment for approximately 25% of his shares in the company, said a person familiar Deidre Bosa. That’s half as many shares as SoftBank originally intended to buy, the person said.
If the deal closes, SoftBank would buy back about $ 1.5 billion in shares from early WeWork investors. The deal would represent 10.5% of WeWork shares, with a price of $ 19.19 per share, which is the price originally agreed, the person said. Neumann will remain the company’s major shareholder.
SoftBank followed Neumann report last month, WeWork negotiated a combination with SPAC linked to Bow Capital Management, the source said.
Talks between Softbank and Neumann were first reported on Monday Wall Street Journal.