HONG KONG/SHANGHAI—China Evergrande Group on Thursday secured a crucial approval from onshore bondholders to delay payments on one of its bonds, as other cash-strapped developers also scrambled to negotiate new terms with creditors to avoid defaults. Struggling with more than $300 billion in liabilities, sector giant Evergrande was seeking more time for bond coupon and redemption payments to avoid a technical default that would have complicated its politically sensitive restructuring. The deadline to vote on the six-month delay to payments of the 4.5 billion-yuan ($706 million), 6.98 percent January 2023 bond ended earlier on Thursday. The bond terms gave holders the right to sell it back early to the issuer on Jan. 8. In a statement late on Thursday, the developer’s main unit Hengda Real Estate Group said that it had reached an agreement with bondholders to delay payments. Of those who voted, 72.3 percent approved the proposal to extend …
China Evergrande Secures Payment Extension as More Developers Race to Avert Defaults
January 13, 2022
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