This site uses cookies to provide you with a great user experience. By using BondbloX, you accept our use of cookies.
Powerlong Real Estate has entered into a debt restructuring deal with AHG Group. According to an exchange filing, the restructuring scheme offers different options to creditors like a combination of cash and convertibles, new medium term notes or new long term notes. AHG Group holds about 27% of its scheme debt and 35.6% of its existing notes. The deadline for restructuring has been set at 30 September 2024 and the scheme also offers credit enhancement and consent fees.
In other related news, Chinese property developer, China Aoyuan has filed for bankruptcy protection in US courts under Chapter 15 to avoid litigation issues around its dollar debt restructuring. Earlier on November 29, Aoyuan’s creditors had approved the restructuring proposal which is yet to take effect due to the pending Hong Kong court ruling scheduled on 8 January 2024. According to its filings, the company’s current liabilities exceeded current assets by RMB 36.5bn ($5.1bn) as of end-June. Its total borrowings, senior notes and bonds stood at RMB 108.9bn ($15.2bn), over 90% of which were due within 12 months.
Both Powerlong’s and Aoyuan dollar bonds continue to trade at deeply distressed levels of 8-9 and 2-3 cents on the dollar respectively.
For more details, click here