Real estate and co-working startup Knotel has secured court approval of a deal with its prospective buyer and junior creditors that it hopes will pave its way out of bankruptcy, Reuters reported. During a remote hearing yesterday, U.S. Bankruptcy Judge Mary Walrath, Delaware signed off on the settlement that provides unsecured creditors up to $6.2 million if Digiatech LLC, Knotel’s lender and likely buyer, is the winning bidder at an auction scheduled for Friday. The deal firms up key support from junior creditors for Knotel’s goal of conducting a quick sale process before its financing runs out.
