Adam Neumann moves to buy back WeWork as it seeks funds to exit bankruptcy, FT reports

By Thomson Reuters Apr 17, 2024 | 11:57 PM

(Reuters) – WeWork Inc founder Adam Neumann has made a fresh push to buy back the firm even as it seeks hundreds of millions of dollars to emerge from bankruptcy and avoid a sale, FT reported on Thursday.

The shared office space provider was running short of cash and needed as much as $400 million in fresh funding to have a chance of emerging viably, FT said, citing two people familiar with the matter.

Alex Spiro, an attorney for Neumann’s real estate firm Flow told FT that the company and its financial partners were prepared to beat any other offer that WeWork has received by 10%.

Adam Neumann had submitted a bid of more than $500 million to buy back WeWork, Reuters reported last month citing a person familiar with the matter.

WeWork did not immediately respond to a Reuters request for comment.

The SoftBank-backed company said earlier this month that it aims to emerge from Chapter 11 bankruptcy in the U.S. and Canada by May 31 and had negotiated more than $8 billion, or over 40%, reduction in rent commitments from landlords.

(Reporting by Devika Nair in Bengaluru; Editing by Rashmi Aich and Mrigank Dhaniwala)