SoftBank to Take Control of WeWork

◊ SoftBank Buy WeWork ◊

SoftBank Group Corp. won approval from WeWork’s board to take control of the troubled co-working startup, in a deal that would hand co-founder Adam Neumann nearly $1.7 billion and sever most of his ties with the company. WeWork, in danger of running out of cash in the coming weeks, chose a rescue offer from SoftBank over a competing proposal from JPMorgan Chase & Co., according to people familiar with the matter. It had asked both parties to submit proposals by a deadline yesterday.

The deal is expected to value the company at about $8 billion, a far cry from what it was expected to fetch in an initial public offering earlier this year and even less than the $47 billion at which a January investment from SoftBank pegged its worth.

As part of the deal, SoftBank, which already owns about a third of the company, is to buy nearly $1 billion of stock in WeWork’s parent from Mr. Neumann, who was forced out as chief executive after pushback from new investors scuttled the IPO. The Japanese conglomerate will also extend him roughly $500 million in credit to help repay a loan facility of the same amount led by JPMorgan, and also pay Mr. Neumann a $185 million consulting fee, the people said.

Mr. Neumann, who is still chairman of We Co., as the parent is known, is also expected to step down from the board, the people said. He will maintain a stake in the company and remain a board observer.

The nearly $1 billion share purchase is part of a tender offer of as much as $3 billion from SoftBank to be extended to the company’s employees and other investors. WeWork’s board is expected to announce this deal Tuesday.



Ztotop Case for iPad Pro 11″ 2018

Slim Lightweight Trifold Stand Smart Shell with Auto Wake/Sleep + Rugged Translucent Back Cover Support iPad Pencil Charging for iPad Pro 11, Black - Free International Shipping.



Top Dividend Stocks

Are you tired of trawling list after list of dividend stocks to find ones that’ll maximize your profit?… Well your search is over. Become a member of SMN.Today and you’ll get updated lists of the top one hundred dividend stocks. The stocks are drawn from a diverse range of payoffs, so you can best customize your portfolio for your needs. Trust the experts, become a member of SMN.Today, and watch your bank account grow! — One Time Payment! —



Leave a Reply

Fill in your details below or click an icon to log in: Logo

You are commenting using your account. Log Out /  Change )

Google photo

You are commenting using your Google account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s

This site uses Akismet to reduce spam. Learn how your comment data is processed.