BFFs to boardroom rivals

Vishal Garg and Daniel Lewis, Better.com's founder and investor, started as close friends but became rivals after Lewis replaced Garg as CEO

“You are the last person I am texting tonight, you are on my mind”

CEO ousting sparks conflict

Garg was removed as CEO on August 3 after Lewis joined the board and took over interim leadership

Texts reveal falling friendship

Over 2,000 texts exchanged between Garg and Lewis over 13 months show their relationship deteriorated from friendship to hostility

“My family is asking me about my health insurance. Would you please advise me on that. Thank you”

Divergent leadership visions

Garg wants to focus on product innovation while Lewis aims for sustainable profitability through cultural change

Financial fallout

Better.com reported over $1.5 billion in net losses since 2022 with stock price dropping 37% after Garg's ouster

Board battle intensifies

Garg is seeking to remove five directors including Lewis and board chairman Talwar from Better.com's board

Proxy fight deadline

Shareholders must decide by October 20 whether to support Garg's board changes or Lewis's interim leadership

Investor opinions split

Proxy advisory firms ISS and Glass Lewis recommend supporting Better's current board while Egan-Jones supports Garg's group

Garg's leadership critique

Garg claims Lewis falsely told the board he supported rescinding equity grants and removing half the board

“I think that is how he eventually turned the board and these four members of the board against me”

Lewis's leadership critique

Lewis says Garg created a toxic culture with threats and public humiliation of employees

“Late-night texts, swearing campaigns, saying that he was going to disembowel people publicly”

Financial history

Better.com reported net losses of $301 million in 2023 and $165.9 million in 2.025 with revenue rising from $72.3 million to $164.9 million

Shared history

Garg and Lewis both have deep roots in finance with Garg starting his own student loan company and Lewis running a hedge fund

Friendship's end

Garg called Lewis a 'boy scout' after Better published a statement calling his leadership destructive

“Sacre bleu Daniel, I think the French air is getting to you”

Board changes

Garg is proposing a new board with three directors including Activant Capital's Steve Sarracino

Investor support

Activant Capital, Framework Ventures, and SoftBank Capital Partners are key shareholders in the proxy fight

Future of Better.com

Lewis plans to focus on wholesale lending and home equity lines of credit while Garg wants to prioritize product innovation