Adam Neumann, co-founder and former CEO of WeWork.
Michael Nagel | Bloomberg | Getty Images
Adam Neumann made an unsolicited offer of more than $500 million for the buyout Wework From bankruptcy, a person familiar with the matter told CNBC.
This offer could be worth as much as $900 million, pending due diligence, this person said.
Newman's financing was not immediately clear, though people familiar with the matter told CNBC that Dan Loeb's Third Point was not involved in the bid. Neumann's lawyer had previously said Loeb's investment firm was backing the WeWork founder's bid, but Third Point disputed that assertion in an earlier statement.
Uncertainty over Neumann's financing, combined with his track record at the company, could dampen WeWork's receptivity to his offer. Neumann, his family office Nazare and his Andreessen Horowitz-backed real estate venture Flow filed a notice of appearance in WeWork's bankruptcy filing on Monday.
“Two weeks ago, a consortium of six financing partners — whose identities are known to WeWork and its advisors — made a potential bid for a much larger amount” than the $500 million initially reported, a Flow spokesperson said in a statement. Flow did not respond to CNBC's request for comment regarding the potential $900 million bid.
The offer comes weeks after Newman appeared, renewing his interest in regaining the company from which he was fired five years ago. WeWork filed for bankruptcy in 2023 after years of difficulties, and is working with bankruptcy advisors to restructure and streamline the business.
“As we have said previously, WeWork is an exceptional company and it is not surprising that we receive letters of interest from third parties on a regular basis. Our board of directors and advisors review these approaches in the ordinary course, to ensure that we always act in accordance with standards,” a WeWork spokesperson said Monday in a statement. “The best long-term interests of the company.”
Neumann's bid, first reported by The Wall Street Journal, could complicate WeWork's bankruptcy proceedings. The company is seeking to reject many leases, which means it will be able to walk away from long-term commitments in less profitable markets. Some WeWork lessors have resisted these efforts.
