Very different outcomes than corporate bailouts. It would literally move means of production into workers' hands. Reduces the size of the private capital controlled part of the economy. Easier to see if you picture it done routinely for failing companies with otherwise profitable enough businesses for their employees. You'd end up with a large socialist sector comprised of democratically owned and run firms that owe debt to the state.

Initially these firms may not be able to produce the yearly return to external shareholders to be considered profitable investments by private capital, but they might be able to make enough profit to pay worker salaries and upkeep. That alone is a big win for their local economies. Some would grow. Others would fail. The quality of life and/or pay would improve in the survivers.