I think there are two separate issues here:
1/ Issue One...getting out of the wrecked motor vehicle that are their shorts. This requires buying back stock....sooner or later. Where are they getting the stock from? It is doubtful that the Redditers have enough stock to sell (or would want to sell). A secondary offering would provide stock in volume and at an acceptable price.
2/ Issue two: Replacing the motor vehicle...replacing the previously cheap leverage provided by the short leg...which can be handled by bank loans.