The pact announced Friday ends a legal fight over a stock transaction that collapsed, eliminating the need for a March 4 trial in Delaware.
WeWork Cos. and co-founder Adam Neumann reached a legal settlement with SoftBank Group Corp. that will cement control of the embattled real estate start-up with its largest investor and send the former chief executive on his way with a financial windfall.
According to people familiar with the agreement, Neumann will give up for a year his role on the board of the co-working company he helped create, while cashing out roughly $480 million in stock to SoftBank. Additionally, SoftBank will pay Neumann $50 million to cover legal fees and another $50 million as part of ahe was previously promised, as well as giving him a five-year extension on a $430-million loan he owes the Japanese investor.