SoftBank balks at part of WeWork bailout

Even the dumb money isn’t that dumb… SoftBank is backing away from part of its planned bailout of WeWork, citing several regulatory investigations of the office-sharing company. This development won’t affect the $5 billion lifeline SoftBank agreed to give the co-working company directly. 

• Dig Deeper: SoftBank believes regulatory probes into WeWork’s business, including from the SEC and Justice Department, give it an out under the deal struck to purchase $3 billion of WeWork shares from existing investors, WSJ reported.

• Ouch: That would include Adam Neumann who had the right to sell up to $970 million in stock as part of the October deal that led to his ouster from the company’s board.