WeWork Inc. and its creditors, including top backers SoftBank Group Corp. and bondholders like King Street Capital Management, are in discussions about who will take control of the company as it nears the end of a debt grace period.Â
BlackRock Inc. and Brigade Capital Management are also involved in the negotiations. As for a timeline, the restructuring deal could be finalized in the coming weeks and may lead to a bankruptcy filing as soon as November.Â
Discussions revolve around how much debt WeWork can handle and which creditors need to convert their debt into equity. A key part of the plan includes ending and renegotiating many leases and significantly reducing costs.Â
The company has been operating under a 30-day grace period after missing interest payments due earlier this month, which expires on October 31.
As bankruptcy looms, the question remains of who will take control of the troubled coworking giant.Â
