Zhenro Properties added a definite call date to the consent solicitation for its $200m Perp in an attempt to win more bondholder support. According to its HKEX filing on March 4, Zhenro will amend the redemption date to March 6 2023, instead of March 5, 2022. While the redemption price is now revised to 102, IFR notes that the distribution rate under the new proposal will be lowered to 8% starting from January 25 2022. The bond was due to be called on March 5, 2022, but Zhenro in its proposal in February asked bondholders to waive and forgive any default that may occur if it did not redeem the Perp. The consent fee remains unchanged at $10 per $1,000 of principal, with a step-up fee of $7.5 per $1,000 under the new proposal. The expiration deadline for the consent is on March 11 with its bondholder meeting rescheduled to March 28 from March 14.
Zhenro’s dollar bonds were flat, trading at 11-23 cents on the dollar.