NEW YORK – WeWork and its major financial backers including SoftBank Group have struck a new restructuring deal to get the ailing workspace provider out of bankruptcy, spurning a competing financing proposal from co-founder Adam Neumann.
WeWork has struck an agreement with senior lenders, who have agreed to provide the business with roughly US$450 million (S$612 million) in Chapter 11 and exit financing in exchange for equity in the reorganised business. SoftBank and other owners of the companys existing letters of credit could also swap their debt holdings for stock after exiting Chapter 11, WeWork lawyer Steven N Serajeddini said during an April 29 bankruptcy court hearing in New Jersey.
The restructuring deal represents a major milest…
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