Nearly two years ago, SoftBank Group Corp. 9984 -2.20% sought to part ways with WeWork co-founde

Former WeWork Chief’s Gargantuan Exit Package Gets New Sweetener

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2021-05-27 12:00:07

Nearly two years ago, SoftBank Group Corp. 9984 -2.20% sought to part ways with WeWork co-founder Adam Neumann when it bailed out the shared-office company. It hasn’t been an easy divorce.

Securities filings from earlier this month show WeWork in February gave Mr. Neumann an enhanced stock award worth roughly $245 million, a benefit that wasn’t extended to other early shareholders and hasn’t been previously reported.

The deal was part of a renegotiation of the former chief executive’s giant 2019 exit package meant to end a long-running dispute between him and SoftBank and help clear the way for a public listing for WeWork, according to people familiar with the matter.

In addition, the final package gave him nearly $200 million in cash, let him refinance $432 million in debt on favorable terms and allowed an entity Mr. Neumann controls to sell $578 million in WeWork stock.