Wework sells former CEO Adam Neumann’s $60m private jet
Wework is reportedly preparing to sell ex-chief executive Adam Neumann’s $60m private jet after the founder was this week forced to step down from the company.
Some investors said the private plane was a sign of poor corporate governance in the lead up to the firm’s delayed initial public offering, Business Insider reported.
Read more: Softbank in talks to invest extra $1bn in Wework
Neumann stepped down as chief executive on Tuesday, a week after the company pulled its plans for a public listing, saying the scrutiny directed towards him had become “a significant distraction”.
The co-founder had been criticised over his behaviour after reports emerged that he smoked cannabis on a private jet between the US and Israel.
Staff were also reportedly unhappy about the funds spent on lavish parties.
Neumann still sits on the We Company’s board as executive chairman however the voting power of his shares has reportedly been cut from 10:1 to 3:1.
Wework has promoted two of its current executives – Artie Minson and Sebastian Gunningham – to share the chief executive role while the company finds a permanent replacement.
The company had planned to float this month, but delayed its plans in the face of cool investor sentiment.
Read more: Wework likely to postpone listing to 2020 after chief executive steps down
In 2018, Morgan Stanley put the firm’s valuation as high as $104bn and a private placement in January put the value at $47bn.
However, the postponed IPO would have given the business a valuation of $15bn.