Neumann may gain $245 million more in stocks from WeWork’s exit
By Shubhangi on May 28, 2021 | 03:38 AM IST
Adam
Neumann, the erstwhile leader of WeWork, would gain extra bonus of stock riches
at his separation from the company if its plan of going public is successful.
Neumann
would earn shares worth more than $245 million at the current price if the
company’s plan succeeds.
On Neumann’s exit from WeWork, he was already given the ability
to sell roughly $480 million in stock to SoftBank, in addition to
getting $50 million in cash, another $50 million to cover legal
fees and a five-year extension on a pre-existing $430 million loan from
the Japanese conglomerate, reported Bloomberg.
WeWork is planning to go public by merging with a special
purpose acquisition company, BowX Acquisition Corp. The merger is planned for
the third quarter.
According to the filing, the share of the company must be
above $10 after expiration of restrictions on Neumann’s stock sales.
The filing also said that before the settlement agreement
with Neumann, he would already receive the shares but negotiated for them to be
fully vested with a base price of $0.
(With
inputs from Bloomberg)
Picture
Credits: Bloomberg