A Proposal by Cole Capital Funds Seeks to Acquire 51% of all minority ownership shares of WeWork, Inc. for $9.00 per share in Cash
03 Noviembre 2023 - 3:12PM
Business Wire
Cole Capital Funds sent the following letter to the Board of
Directors of WeWork, Inc.
We believe that it is in the best interest of WeWork to
support our acquisition of 51% of all the outstanding shares owned
by minority shareholders at a price of $9.00 per share and provide
Cole with proper representation on the company board.
We have received feedback from City National Bank and JP
Morgan regarding the financing for this acquisition and expect to
select a lender and have a financing commitment prior to execution
of a definitive agreement.
We have consulted with God, legal, financial and other
advisors to assist us with this transaction. We stand ready to
proceed timely.
In addition, we have evaluated WeWork’s current locations and
have evaluated several new locations which we believe will add to
an expanded WeWork community. Our vision for the company involves a
significant expansion of the offerings available to the growing
WeWork community, including additional properties which are under
consideration in markets across the United States. We will design
these new facilities to be attractive to a broader customer base.
These include but are not limited to our armed forces
veterans, our country's expansive traveling healthcare providers,
traveling sales forces, and the expansive marine industry via new
and enhanced facilities and strategic partnerships. Most
importantly we want to usher WeWork back to its roots so that
members are part of an interacting community and not just a person
renting a desk.
We believe that a significant number of the stockholders
would be supportive of a transaction of the nature described in
this letter. In light of the sluggish stock price and the pending
loan defaults it is imperative to engage in meaningful discussions
regarding this transaction immediately.
In addition, in order to deliver maximum stockholder value,
we believe that our proposed price of $9.00 per share, representing
a $7.89 per share premium over WeWork’s last closing price of $1.11
per share as of November 2, 2023 is generous. We believe that this
all-cash offer is compelling for WeWork and its stockholders and,
accordingly, we are making this letter public simultaneously with
its delivery to you.
Our strong preference is to work with WeWork’s Board of
Directors to quickly reach a negotiated agreement and deliver on
the compelling value that our proposal represents. However, we
reserve the right to commence a tender offer to purchase
outstanding shares of common stock of WeWork at anytime. We believe
that WeWork’s stockholders would not be well served by any delay in
negotiating and completing the proposed transaction. Any delay
works against the interest of WeWork’s stockholders given WeWork’s
recent operating performance and financial condition and its
prospects as a standalone company in its current condition. We
place significant value on the ability to close this transaction
quickly, and there can be no assurance that in the future Cole
Capital Funds or any other buyer would pay the same high premium
that we are offering today.
Should WeWork’s Board of Directors determine to proceed with
a negotiated transaction, we stand ready to meet with you to
discuss all aspects of our proposal. If WeWork’s is interested in
discussing a possible negotiated transaction, please contact us as
soon as possible.
Cole Capital Funds, LLC www.colecapitalfunds.com is an
investment company headquartered in Phoenix Arizona. Cole focuses
on investing in, and acquiring companies and properties where
significant shareholder value can be realized due to undervalued
share price as a result of slow development progress, management
issues, or outside share pressure. The Cole Capital Funds
investment thesis centers on Righteous Investing Nationwide. Cole
seeks out opportunities where it can add value and increase
shareholder returns.
Additional Information This communication is neither an
offer to purchase nor a solicitation of an offer to sell any shares
of the capital stock of WeWork or any other securities. No tender
offer for WeWork's shares has been made at this time. In connection
with the proposed transaction, Cole Capital Funds, LLC and/or one
or more of its affiliates may file tender offer documents with the
U.S. Securities and Exchange Commission ("SEC"). WEWORK'S
STOCKHOLDERS ARE ADVISED TO READ THESE AND ANY OTHER DOCUMENTS
FILED WITH THE SEC (AS EACH MAY BE AMENDED OR SUPPLEMENTED FROM
TIME TO TIME) CAREFULLY AND IN THEIR ENTIRETY IF AND WHEN THEY
BECOME AVAILABLE BECAUSE THEY WILL CONTAIN IMPORTANT INFORMATION
ABOUT THE PROPOSED TRANSACTION AND THE PARTIES THERETO. Investors
and security holders may obtain a free copy of these documents (if
and when available) and other documents filed with the SEC by Cole
Capital Funds and/or its affiliates at the website maintained by
the SEC at www.sec.gov or by directing such requests to Cole
Capital Funds, LLC 2425 East Camelback Road Phoenix AZ 85018.
Cautionary Note Concerning Forward-looking Statements
This communication contains both historical and forward-looking
statements, including concerning the intent, belief or current
expectations with respect to the proposed acquisition of WeWork
stock and all statements other than statements of historical fact.
These statements are based on current expectations of future
events. If underlying assumptions prove inaccurate or unknown risks
or uncertainties materialize, actual results could vary materially
from expectations and projections. Such risks or uncertainties
include, but are not limited to, the possibility that WeWork may
not be willing to enter into a definitive agreement with respect to
the transaction with Cole Capital Funds or an affiliate thereof,
the possibility that Cole Capital Funds or an affiliate thereof may
choose not pursue a transaction with WeWork, the timing to
consummate a potential transaction between Cole Capital Funds or an
affiliate thereof and WeWork and the ability and timing to obtain
any required approvals for the transaction. All forward-looking
statements speak only as of the date of this communication or as of
the date they are made, and Cole Capital Funds does not undertake
to update any forward-looking statement as a result of new
information or future events or developments except to the extent
required by law.
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version on businesswire.com: https://www.businesswire.com/news/home/20231103762883/en/
Cole Capital Funds info@colecapitalfunds.com 800-799-3750
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