Billionaire Adam Neumann is trying to buy back bankrupt real estate company WeWork, which he founded in 2010 and from which he was ousted in 2019, DealBook reported Tuesday.
Neumann, his startup Flow and Dan Loeb's fund Third Point have “consistently” expressed a “sincere interest in buying” since December 2023 We work and its leases emerging from bankruptcy or offering debtor-in-possession or DIP financing, according to a letter obtained by Dealbook from Neumann's attorney, Alex Spiro.
According to the letter, these efforts go back even further than December. Neumann had tried to arrange up to $1 billion in funding in October 2022, but was rebuffed by former CEO Sandeep Mathrani.
WeWork advisers resisted Neumann's efforts, but ultimately suggested Neumann provide DIP financing instead of a term sheet, the letter said. It was not immediately clear from the letter whether WeWork and Neumann's team had signed a nondisclosure agreement, although the letter said the two sides had exchanged markups for an agreement.
WeWork filed for bankruptcy in November 2023 after years of financial difficulties. Neumann resigned in 2019 as the company faced increasing investor concerns about its governance and valuation.
Third point: Neumann and Spiro did not immediately respond to CNBC's request for comment.
Read more on DealBook.