Shares of Carvana Co. CVNA rallied 3.2% in premarket trading Monday, to bounce off a 7-week closing low in the previous session, after Bloomberg reported that creditors holding about 90% of the troubled used-car retailer’s bonds have proposed ways to cut debt and improve liquidity. Citing people familiar with knowledge of the situation, the Bloomberg report said the proposals included a debt-for-equity swap. Oppenheimer analyst Brian Nagel said the debt-for-equity swap could be a “potentially BIG lifeline” for the company. “While many ‘unknowns’ exist, we are hard-pressed to envision a successful, sizable debt-for-equity…
