wework: WeWork tapping advisers for restructuring help: report

WeWork is tapping advisers for restructuring advice as it struggles with a heavy debt load and poor financial performance, Bloomberg News reported on Wednesday citing people familiar with the matter.

Shares of the Softbank Group-backed WeWork fell about 15% to 0.12 cents in afternoon trade.

The New York Stock Exchange (NYSE) suspended trading in WeWork’s warrants on Tuesday due to “abnormally low” trading price levels and said will initiate proceedings to delist them.

The flexible workspace provider has hired real estate adviser Hilco Global, engaged consultant Alvarez & Marsal and re-engaged law firm Kirkland & Ellis for advice on its options, according to the report.

The company is seeking to avoid a Chapter 11 bankruptcy filing and restructure its debts out of court, the report added citing a person familiar with the matter.

WeWork, Hilco Global, Alvarez & Marsal and Kirkland & Ellis did not immediately respond to Reuters’ requests for comment.

Stay on top of technology and startup news that matters. Subscribe to our daily newsletter for the latest and must-read tech news, delivered straight to your inbox.