Adam Neumann's exact stake in WeWork is unknown, but based on some of the available info we can estimate how bad the smaller IPO will be for him.
valuation gets compressed in its IPO, there's one person who stands to lose a lot of money: founder and CEO Adam Neumann.
It's impossible to know just how much money Neumann could lose because WeWork hasn't revealed exactly how much of the company he owns. So, just for the heck of it, let's try to estimate what he stands to lose if Wall Street stays cool on his company.that Neumann owns 2.43 million shares of Class A stock, roughly 944,000 shares of Class C stock and that he controls 112.5 milion shares of Class B stock. The company's S-1 filing indicates that of that Class B stock, some 11.72 million shares are actually owned by others, even though Neumann controls their voting rights.
So, we can infer that in April, four months after Softbank's investment deal valued WeWork at $47 billion, its stock was worth not quite but somewhere around $54 a share. Just before filing the IPO paperwork, the company also gave him an enormous grant of 42.5 million shares and some of those are tied to WeWork achieving soaring valuations.a chunk of this grant will vest simply if Neumann stays with the company, even if the company doesn't go public.
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