WeWork Clinches Major Restructuring in Quest For Profits (1)

WeWork Inc. struck a deal to cut about $1.5 billion of debt on a net basis and secured more than $1 billion of capital commitments as Chief Executive Officer Sandeep Mathrani works to push the firm toward profitability.

Sandeep Mathrani, chief executive officer of WeWork, on the floor of the New York Stock Exchange.

Photographer: Michael Nagle/Bloomberg

As part of the debt reduction, key investor SoftBank Group Corp. will convert $1 billion of unsecured notes into equity, WeWork said Friday in a statement, confirming an earlier Bloomberg News report. The coworking company also said it will delay filing its annual report.

WeWork shares slipped less than 1% to 97 cents at 10:55 a.m. New York time Friday, ...