Breaking News
Get Actionable Insights with InvestingPro+: Start 7 Day FREE Trial Register here
Investing Pro 0
Ad-Free Version. Upgrade your Investing.com experience. Save up to 40% More details

China Evergrande Misses Two More Dollar Bond Interest Payments, Debt Woes Continue

Stock MarketsOct 12, 2021 15:18
Saved. See Saved Items.
This article has already been saved in your Saved Items
 
© Reuters

By Gina Lee

Investing.com – China Evergrande Group's (HK:3333) debt woes continue, after some holders of two of the developer’s U.S. dollar bonds with coupons due Monday saying they had yet to receive payment.

The investors are yet to receive the coupons on the developer’s 9.5% note due 2022, and its 10% bonds due 2023 as of 5 p.m. in Hong Kong on Oct. 11. The total interest due for China Evergrande, along with the payment due on a third 10.5% note due 2024, was about $148 million, according to Bloomberg.

China Evergrande also missed the initial coupon deadlines for two other offshore bonds in late September 2021. Creditors have also yet to receive repayment a separate dollar bond they say is guaranteed by Evergrande and one of its units, Bloomberg said last week.

The company has a 30-day grace period before any missed payment would constitute a default, according to at least one of the bond’s offering memoranda.

China Evergrande’s Hong Kong shares have been suspended for trading since Oct. 4. Shares in Evergrande Property Services Group Ltd., the developer’s property-services arm, were also suspended on the same day.

Meanwhile, Sinic Holdings Group Co. said in a Hong Kong Stock Exchange filing that it does not expect to make payments of the principal, and the last installment of interest, due Oct. 18 for a $250 million bond issue. The Chinese real estate developer added that an event of default will likely occur.

The Central Commission for Discipline Inspection also began a two-month anti-graft inspection of the China Banking and Insurance Regulatory Commission and will accept complaint reports from whistleblowers until Dec. 15, according to a statement issued on Monday.

The check of the nation’s financial regulators, biggest state-run banks, insurers, and bad-debt managers for the first time in six years come as Chinese authorities ramp up efforts to root out corruption in the $54 trillion financial system.

China Evergrande Misses Two More Dollar Bond Interest Payments, Debt Woes Continue
 

Related Articles

Omicron Stalls TUI Recovery
Omicron Stalls TUI Recovery By Investing.com - Dec 08, 2021

By Catherine Reynolds  Investing.com --  TUI Group (LON:TUIT) shares were down 4.7% by mid-session in Europe as the emergence of the new Omicron variant stalled its vaccine-driven...

Add a Comment

Comment Guidelines

We encourage you to use comments to engage with users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind: 

  • Enrich the conversation
  • Stay focused and on track. Only post material that’s relevant to the topic being discussed.
  • Be respectful. Even negative opinions can be framed positively and diplomatically.
  •  Use standard writing style. Include punctuation and upper and lower cases.
  • NOTE: Spam and/or promotional messages and links within a comment will be removed
  • Avoid profanity, slander or personal attacks directed at an author or another user.
  • Don’t Monopolize the Conversation. We appreciate passion and conviction, but we also believe strongly in giving everyone a chance to air their thoughts. Therefore, in addition to civil interaction, we expect commenters to offer their opinions succinctly and thoughtfully, but not so repeatedly that others are annoyed or offended. If we receive complaints about individuals who take over a thread or forum, we reserve the right to ban them from the site, without recourse.
  • Only English comments will be allowed.

Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at Investing.com’s discretion.

Write your thoughts here
 
Are you sure you want to delete this chart?
 
Post
Post also to:
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Thanks for your comment. Please note that all comments are pending until approved by our moderators. It may therefore take some time before it appears on our website.
Comments (3)
ray hines
ray hines Oct 12, 2021 18:54
Saved. See Saved Items.
This comment has already been saved in your Saved Items
10% interest must be a ponzi scheme.
ray hines
ray hines Oct 12, 2021 18:49
Saved. See Saved Items.
This comment has already been saved in your Saved Items
Someone is going to going to get screwed over on these high risk bonds. 10% really safe hugh.
R U Serious Seriously
R U Serious Seriously Oct 12, 2021 16:30
Saved. See Saved Items.
This comment has already been saved in your Saved Items
Cookie - crumble - OUCH!!
 
Are you sure you want to delete this chart?
 
Post
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Add Chart to Comment
Confirm Block

Are you sure you want to block %USER_NAME%?

By doing so, you and %USER_NAME% will not be able to see any of each other's Investing.com's posts.

%USER_NAME% was successfully added to your Block List

Since you’ve just unblocked this person, you must wait 48 hours before renewing the block.

Report this comment

I feel that this comment is:

Comment flagged

Thank You!

Your report has been sent to our moderators for review
Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.
Continue with Google
or
Sign up with Email