CNBC's "Power Lunch" team discusses corporate governance and The Wall Street Journal report that WeWork's CEO Adam Neumann has sold some of his WeWork stake ahead of an anticipated IPO. With Jeffrey Sonnenfeld, senior associate dean for leadership studies at the Yale School of Management, and Dan Primack, business editor for Axios. 03:58 Fri, Jul 19 20192:59 PM EST
Talking on CNBC , leadership expert Jeffrey Sonnenfeld expressed concern about WeWork ’s concept , business strategy and its CEO 's leadership style . Comparing Adam Neumann with Mark Zuckerberg and Elon Musk , Sonnenfeld said they share a talent for showmanship , but that WeWork lacked the technology that backed up Facebook and Tesla ’s valuations and faced plenty of competition in the sector . His comments included news that Neumann sold WeWork shares worth $ 300 m and borrowed a further $ 500 m against his shareholding , using some of the cash to buy properties , which were leased to the company . Dan Primack , business editor for Axios , defended Neumann stating the buildings were leased when WeWork was struggling to get landlords to lease property to the company . Primack said Neumann , who is hp ’s largest shareholder , last sold shares in October 2014 and has confirmed that he will not sell shares close to the IPO .