benzinga

WeWork's bankruptcy highlights the precarious finances of many so-called "zombie companies," money-losing startups relying on cheap debt and venture capital to stay afloat. Analysts predict many zombie companies face bankruptcies like WeWork's and warn higher rates could trigger waves of bankruptcies and distressed debt among overleveraged zombie firms. Defaults and bankruptcies may peak between now and early 2024 according to some forecasts.

WeWorkanalystsfinancial stabilitydefaultsbankruptcybankruptciesVenture capitalcheap debtdistressed debtforecasts.money-losing startupsoverleveraged firmszombie companies