Co-working company WeWork could potentially file for bankruptcy as early as next week, according to reports, leaving the fate and future of its eight Toronto locations unclear. 

The SoftBank Group-backed company has reportedly struggled with a massive debt pile and hefty losses over the past few years, and said it wouldn't be able to make two sets of interest payments over US$95 million earlier in October. 

According to sources who spoke with Bloomberg, the New York-headquartered company is considering seeking Chapter 11 protection in New Jersey. 

As of 2022, the company boasts over 700 locations worldwide, including eight spaces in Toronto at 1050 King St. W., Hudson's Bay Queen Street, 357 Bay St., 48 Yonge St., Scotia Plaza, 100 University Ave., 240 Richmond St. W, and 1 University Ave. 

WeWork reportedly filing for bankruptcy and Canadian locations' future uncertain 😲 https://t.co/5RfKynx1mc #Toronto #WeWork #Bankruptcy #Business

— blogTO (@blogTO) November 1, 2023

In Toronto specifically, the company fell short of its aim to open up 20 co-working spaces in the city by 2020. In fact, the flexible office space provider has been rapidly shutting down locations worldwide, including one at 33 Bloor St. E. in Toronto in 2021. 

While bankruptcy looms over the horizon for the company, more and more Toronto offices continue to adopt hybrid work models, meaning the potential loss of WeWork spaces could translate to diminished opportunities for networking and workforce flexibility.

Following the first report of the bankruptcy by The Wall Street Journal, shares of the co-working space provider dropped by 37 per cent, after having already dipped 96 per cent this year. 

On Tuesday, the company received a 30-day grace period agreement with creditors for the temporary postponement of payments on some of its debts set to expire this week. 

WeWork is closing one of its Toronto locations https://t.co/S7hhKRKM1D #Toronto #WeWork

— blogTO (@blogTO) February 18, 2021

Despite being privately valued at a staggering $47 billion in 2019, the company had net long-term debt of $2.9 billion as of June and over $13 billion in long-term leases. 

"As a result of the company's losses and projected cash needs, combined with increased member churn and current liquidity levels, substantial doubt exists about the company's ability to continue as a going concern," the company's 2023 second-quarter earnings report reads. 

Concerns have continued to grow amid the departure of numerous top executives at the company over the past year, including CEO Sandeep Mathrani, who left in May following frustrations with SoftBank, the provider's largest shareholder and lender.

While no concrete announcement has been made about the future of the company's locations in Toronto, a WeWork spokesperson told CNN that the company would not comment on "speculation."