Latest news with #SunacChinaHoldingsLtd.
Bloomberg
15-04-2025
- Business
- Bloomberg
Builder Sunac Seeks to Convert All Offshore Bonds Into Shares
Chinese builder Sunac China Holdings Ltd. is discussing with some major creditors a plan to convert all of its offshore bonds into equity, according to people familiar with the matter, as it embarks on a second debt restructuring amid persistent liquidity problems. Options available to creditors would include mandatory convertible bonds with different conversion periods, which would eventually become shares, said the people, who asked not to be identified discussing private matters. Discussions, including about the convertible bond pricing, are ongoing and details could change.
Yahoo
25-03-2025
- Business
- Yahoo
Chinese Property Crisis Just Won't Go Away, Sunac's Case Shows
(Bloomberg) -- Sunac China Holdings Ltd., one of the first major Chinese developers to complete an offshore restructuring, is starting the process all over again, as it joins a growing number of builders facing persistent liquidity problems amid a prolonged property crisis. They Built a Secret Apartment in a Mall. Now the Mall Is Dying. Why Did the Government Declare War on My Adorable Tiny Truck? Chicago Transit Faces 'Doomsday Scenario,' Regional Agency Says LA Faces $1 Billion Budget Hole, Warns of Thousands of Layoffs Libraries Warn They Could Be 'Cut off at the Knees' by DOGE The company said it has begun offshore debt restructuring work and has appointed Houlihan Lokey (China) as financial adviser and Sidley Austin as legal adviser, according to a filing to the Hong Kong stock exchange. The move makes Sunac the first major Chinese builder to pursue a second-round restructuring since the debt crisis began. Sunac's woes highlight the challenges faced by many defaulted developers that don't have the liquidity to restructure their debt. Builders are still under pressure as home prices in China continue to fall, despite government efforts to prop up the property market. And even if a restructuring gets approval from a court, the company still must have enough liquidity to complete the deal. 'Most defaulted players still have poor contracted sales, cash collection and access to new funding,' said Zerlina Zeng, head of Asian strategy at Creditsights Singapore LLC. That constrains their willingness to work out a better deal with offshore bondholders, she added. One of Sunac's creditors, China Cinda HK Asset Management Co., has filed a liquidation petition against the company, and told a court in Hong Kong on Monday that the company hasn't offered any terms for the new offshore restructuring. Sunac's lawyers said the company needed more time to develop its plans. 'Forcing offshore debt holders to accept worse terms and deeper haircuts unfortunately might have to be used to resolve China's bad property debt,' said Zeng. Google Is Searching for an Answer to ChatGPT The Richest Americans Kept the Economy Booming. What Happens When They Stop Spending? A New 'China Shock' Is Destroying Jobs Around the World How TD Became America's Most Convenient Bank for Money Launderers Tesla's Gamble on MAGA Customers Won't Work ©2025 Bloomberg L.P.
Bloomberg
25-03-2025
- Business
- Bloomberg
Chinese Builder Sunac Heads Into Second Offshore Restructuring
Sunac China Holdings Ltd., one of the first major Chinese developers to complete an offshore restructuring, is starting the process all over again, as it joins a growing number of builders facing persistent liquidity problems amid a prolonged property crisis. The company said it has begun offshore debt restructuring work and has appointed Houlihan Lokey (China) as financial adviser and Sidley Austin as legal adviser, according to a filing to the Hong Kong stock exchange.
