I am reading in the Financial Times this morning that WeWork is working on a $5 billion finance package that includes $2 billion of payment-in-kind debt. The PIK portion is expected to have a yield of 15%. (The PIK feature means that interest is paid in more bonds, not cash.) The FT further reports that WeWork's bonds that mature in 2025 are trading at $.79 on the dollar, down from over $.90 on the dollar late last week. Yikes.
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