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felipellrocha
Because he has control over the company. If they don't pay the 1.7bi, then:

- SoftBank loses 15bi

- 15,000 employees lose their entire paycheck

(I don't disagree this is insane. But it what it is.)

toomuchtodo
A third of WeWork is getting let go regardless, and SoftBank has already lost that $15B.
jariel
Softbank will likely end up making money on this one in the end.
Traster
On the other hand, if Neumann refused to hand over the company and it goes bankrupt, his shares would have no value, he would likely have to sell his assets to cover the personal loans he has due, and the properties he owns that he's renting to wework would also collapse in value with their tenant breaking the contract. It would likely completely wipe him out.

So the question is again: Why has Softbank paid $1.7Bn to someone who is desparate to sell.

NotSammyHagar
I believe he's giving up control as part of this. They had to pay him to get control.
dickeytk
Would you take 1.7B to have the reputation he'll undoubtedly have? I like to think I wouldn't.
ecf
Are you insane?

I’d take the 1.7B and fly off to an island never to be heard from again.

Caring what people think is overrated.