China's property developer KWG slips on missing bond redemption payment

KWG group

15/05/2023 04:13

** Shares of Chinese property developer KWG Group Holdings 
 1813.HK  fall as much as 11.9% to HK$0.74, their lowest since
Nov 1, extending losses for a sixth consecutive session
    ** Stock is the biggest pct loser in Hang Seng Composite
Index  .HSCI  and Hang Seng Composite Index on properties and
construction stocks  .HSCIPC  
    ** KWG Group says it has missed a principal payment on a
U.S. dollar bond due on May 14, as it has not made the
redemption payment of $119.23 mln for such part of the principal
and the interest thereon
    ** The Guangdong-based co, which holds current market value
at $322.3 mln, says it has not received any acceleration notice
from the relevant creditors regarding the January 2024 Notes but
its funds available for offshore debt payments are under
pressure
    ** Co says it has been working with advisers on the
preparatory work for a holistic solution to the current offshore
debts situation, and will maintain active communications with
creditors
    ** Hang Seng Composite Index on properties and construction
stocks  .HSCIPC  eases 0.7%, while Hang Seng Composite Index
 .HSCI  and Hang Seng Index  .HSI  both slip 0.1%
    ** As of last close, stock down 54.8% this year

    ($1 = 7.8489 Hong Kong dollars)

 (Reporting by Donny Kwok)
 ((donny.kwok@thomsonreuters.com))