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        <title><![CDATA[WeWork sues SoftBank for yanking $3 billion tender offer]]></title>
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            <media:title type="html">WeWork sues SoftBank for yanking $3 billion tender offer</media:title>
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        <content:encoded><![CDATA[<p>WeWork has sued SoftBank after the Japanese conglomerate said last week that it&#8217;s <strong>backing out of a $3 billion offer</strong> for shares in the struggling office-sharing startup.</p><p>In <strong>the lawsuit</strong>, which was widely expected after the tender was yanked last week, a special committee on the board of WeWork&#8217;s parent We Co. alleged that SoftBank had breached fiduciary duty to minority shareholders by not following through with the offer.</p><p>&#8220;SoftBank&#8217;s failure to consummate the tender offer is a clear breach of its contractual obligations &#8230; as well as a breach of SoftBank&#8217;s fiduciary obligations to WeWork&#8217;s minority stockholders, including hundreds of current and former employees,&#8221; the special committee said in the statement.</p><p>The offer would have mostly enriched just a few wealthy investors, including disgraced co-founder Adam Neumann, who would have made off with a <strong>nearly $2 billion golden parachute</strong> even after his company&#8217;s IPO plans imploded.</p><p>Still, the tender also would have given hundreds of millions to WeWork employees who have seen their equity in the company shrivel after last year&#8217;s flopped IPO. Last week, Softbank said it was concerned about its fiduciary duty to its own investors.</p><p>The lawsuit comes just days after <strong>The Post reported</strong> that the struggling office-leasing giant is in talks to hire an outside adviser to help it renegotiate its leases as the coronavirus pandemic hammers its business around the world.</p><p>“As part of our plan to seek profitable growth, we are conducting an in-depth review of operations and assets globally in order to rightsize the business and optimize our real-estate portfolio,” a WeWork spokesperson said in late March. “As we work through this process, we are working with industry partners where appropriate.”</p><p><em>With Post wires</em></p>]]></content:encoded>
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