Cybereason CEO Sues Mnuchin, SoftBank Over Financing Dispute

Cybereason CEO Eric Gan has filed a lawsuit against former U.S. Treasury Secretary Steven Mnuchin and the SoftBank Vision Fund, accusing them of deliberately obstructing crucial financing that could stabilize the company and prevent bankruptcy. The lawsuit, submitted to the Delaware Court of Chancery, alleges that the investors have consistently blocked funding proposals, including a necessary $150 million capital infusion, to maintain control over the company. Gan warns that without immediate financial relief, Cybereason could face Chapter 11 bankruptcy, significantly harming employees, customers, and shareholders. Both Mnuchin's Liberty Strategic Capital and SoftBank have dismissed the claims as 'meritless' and have not directly responded to the specific allegations. Cybereason, which was once valued in the billions and aimed for an IPO, now finds itself in a precarious financial situation due to these ongoing disputes. The lawsuit highlights broader concerns about governance and investment strategies within high-stakes financing environments.