Hong Kong's Lai Sun seeks maturity extension for July dollar bond

Lai Sun Development

30/03/2026 14:44

By Clare Jim

HONG KONG, March 30 (Reuters) - Hong Kong's Lai Sun Development 0488.HK is proposing to bondholders that it extend the maturity of its $493-million-dollar bond due to expire in July for three years, the company said on Monday, confirming comment from a source.

If the extension plan is implemented, Lai Sun would become one of the first few property developers in Hong Kong to carry out a liability management exercise to manage its debt, as some indebted property companies remain under financial pressure despite a recovery in the residential sector.

A source who could not be named because the discussions were private said Lai Sun was meeting some bondholders on Monday and Tuesday to brief them about its plan to repay 20% of the bond due on July 28 HK236803805= upfront, and extend the rest of the payment by three years.

Lai Sun plans to officially solicit bondholders' consent in June, the source added.

Asked for comment, the company confirmed it was meeting bondholders to seek an extension.

The 5% July bond was bid at 80.625 cents on the dollar late on Monday, down from 84.782 at the start of the day's business.

The developer has another Hong Kong dollar bond worth $23 million due in November. After that, it does not face another bond maturity until 2029.

Lai Sun last week reported a net loss of HK$1.2 billion ($153.17 million) in the first six months ended Jan 31, widening from a net loss of HK$118 million a year ago.

Its total borrowings and guaranteed notes under current liabilities were HK$12.1 billion as of the end of January.

($1 = 7.8343 Hong Kong dollars)

(Reporting by Clare Jim; Editing by Barbara Lewis)

((clare.jim@thomsonreuters.com;))