Brightline Fields Bankruptcy-Loan Bids While Hoping for a Suitor

Brightline is weighing bankruptcy-loan offers from its largest creditors after the Florida passenger railroad failed to lure a buyer by a self-imposed bidding deadline last month, according to people familiar with the matter.

The company is considering proposals from competing groups of municipal and corporate bondholders, who are offering loans that would keep Brightline operating as it restructures in court, said the people, who asked not to named because the information isn’t public. Such financing could put the lenders in place to own Brightline as a function of the restructuring.

The loan proposals come ahead of major debt payments due ...