Sunac China wins more support for restructuring from bondholders, source says

Sunac China Holdings

30/12/2024 12:52

HONG KONG, Dec 30 (Reuters) - Property developer Sunac
China  1918.HK  has so far received sufficient support from
holders of seven of its 10 bonds to cut its onshore bond debt by
more than half through a restructuring, a source with direct
knowledge of the matter said on Monday.
    The company needs approval from holders of all of its 10
onshore bonds worth 15.4 billion yuan ($2.11 billion) to
implement the debt restructuring.  
    In addition to the first six approved earlier this month,
bondholders of its largest onshore bond - with an outstanding of
2.9 billion yuan - expressed support by the extended voting
deadline last Friday, the person said. 
    The company will extend the voting deadline for a third time
for the rest of the bonds to Jan. 3, the person said.
    Sunac declined to comment.
    Once one of China's top developers, Sunac is the first that
aims to slash its onshore bond debt through a company-led debt
restructuring.        
    Progress by Sunac towards a landmark restructuring deal for
yuan bonds could open the gates to a flurry of debt agreements
next year, as the sector gives up on returning to financial
health anytime soon.    

($1 = 7.2991 Chinese yuan renminbi)

 (Reporting by Clare Jim; Editing by Susan Fenton)
 ((clare.jim@thomsonreuters.com;))