(Bloomberg) -- Sunac China Holdings Ltd.’s key onshore unit has proposed taking two years to fulfill repayment obligations under a local currency note, the latest sign of distressed financials among developers as investors gear up for their earnings.
S&P Global (NYSE:SPGI) Ratings withdrew its long-term issuer credit score on Sunac at the company’s request, according to a statement on Wednesday. Elsewhere, Kaisa Group Holdings Ltd., is one of several developers to warn of a deadline miss in posting annual results.
Higher-rated Chinese builders’ dollar bonds rose on Wednesday, and a Bloomberg Intelligence index of shares gained as Harbin City announced plans to ease property control rules.
Key Developments:
- Evergrande Investors Left Baffled by $2.1 Billion in Seized Cash
- S&P Withdraws Sunac China Ratings at Company’s Request
- Logan Group Unit Gets Bondholders’ Approval to Extend Local Note
- China’s Harbin City Plans to Scrap Property Control Rules
- Kaisa Says Work With Legal, Financial Advisors Is Still Ongoing
- Evergrande Says It’s On Track for Restructuring Plan by End-July
- China Developers Sunac, Shimao to Also Miss Earnings Deadline
Evergrande Not Symptomatic of Rest of Market: Kong (8:16 a.m. HK)
Teresa Kong, portfolio manager at Matthews Asia, spoke with Bloomberg Television about the debt woes that Chinese property developers face.
Investors in China Evergrande (HK:3333) Group are still in the dark over just how $2.1 billion of deposits at its property-services unit came to be used as security for pledge guarantees and seized by banks. Kong spoke on “Bloomberg Daybreak: Australia.”
Sunac Unit Proposes Two Years for Bond Repayment (8:14 a.m. HK)
Sunac China’s key onshore unit has proposed taking two years to fulfill repayment obligations under a 4 billion yuan ($628 million) note that’s puttable April 1, according to two bondholders who were sent a notice of the offer by the note’s trustee Wednesday afternoon.
S&P Withdraws Sunac China Ratings at Company’s Request (8:06 a.m. HK)
S&P withdrew its B- long-term issuer credit rating on Sunac and the CCC+ long-term issue rating on the senior unsecured notes at the company’s request, according to a statement.
Ratings were on CreditWatch with negative implications at the time of the withdrawal.
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