WeWork founder Adam Neumann trying to buy back company

WEWORK founder Adam Neumann is trying to buy back the flexible workspace provider after it filed for bankruptcy in November, CNBC reported on Tuesday (Feb 6), citing DealBook.

Neumann’s new real estate company, Flow Global, has sought to buy WeWork or its assets, as well as provide bankruptcy financing to keep it afloat, DealBook reported.

WeWork declined to comment on the report. Flow Global did not immediately respond to a Reuters request for comment.

The news comes a day after an attorney for WeWork said the company may be forced to take a new bankruptcy loan to make up for the slower-than-expected progress on rent negotiations.

Under Neumann, WeWork grew to be the most valuable US startup worth US$47 billion. But his pursuit for growth at the expense of profit and revelations about his eccentric behaviour led to his ouster and the derailment of an initial public offering in 2019.

The SoftBank-backed company racked up losses on its long-term lease obligations as more people began working from home during the pandemic and demand for office space plunged. Shortly before WeWork filed for bankruptcy, Neumann said in a statement, “I believe that, with the right strategy and team, a reorganisation will enable WeWork to emerge successfully.” REUTERS

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