Kaisa chairman Kwok Yingshing is hoping investors can overlook a few small mishaps
One of the best-known names in Asian financial markets may be returning to the region’s bond trade as Kaisa Group hopes that the newfound appetite for Chinese developer debt may make investors overlook its 2015 default and 2016 restructuring. Also in the news, the boss of one of China’s four big “bad” banks may have been a bit too naughty, and WeWork says that it will try out its office management system on one of its biggest investors as it rolls out the workspace initiative on the mainland. All this and much more awaits you just a few scrolls down the page.
Kaisa Could Return to International Bond Market
Chinese property developer Kaisa Group Holdings is in talks with banks in relation to a dollar-denominated bond issuance, according to people familiar with the matter who are not authorized to speak publicly and asked not to be identified.
The firm’s new funding plan comes amid a sharp drop in junk bond yields that has propelled new bond sales among high yield issuers in the region, particularly Chinese property developers as they look to refinance debt. Two phone calls to Kaisa’s media department went unanswered. Read more>>
China Average Home Prices Rise for 35th Month in a Row
China’s new home prices rose for their 35th consecutive month in March, with more cities reporting growth as the government supported demand from first-time buyers and despite persistent curbs to dampen speculative demand.
Average new home prices in China’s 70 major cities rose 0.4 percent in March from the previous month, up from 0.2 percent growth in February, Reuters calculated from National Bureau of Statistics (NBS) data published on Wednesday. Read more>>
Huarong Asset Management Chief Under Investigation
Trade in shares of China Huarong Asset Management, the country’s largest bad loan manager, was suspended on Wednesday morning in Hong Kong, after China’s anticorruption watchdog put its chairman, Lai Xiaomin, under investigation.
Set up in 1999 to handle distressed assets, Huarong is one of China’s big four “bad” banks, which between 1999 and 2005 soaked up non-performing loans worth 1.4 trillion yuan (US$222.63 billion) from state-owned banks. Read more>>
WeWork Launches Office Management System in Mainland China
Co-working space provider WeWork China has joined forces with Li & Fung parent company Fung Group and investment firm Hony Capital to launch the first Powered by We projects in mainland China.
The Fung Group and Hony Capital will be the first partners for WeWork’s Powered by We solution on the mainland. The Powered by We initiative involves designing, building and running shared workspace environments based on WeWork’s experience in design and operations. Read more>>
Rents at Vanke Beijing Project Said Triple Local Average
A Beijing rental-housing project at which minimum rents are triple the district average has raised eyebrows amid a national drive to develop the sector.
Construction recently kicked off on China Vanke Co. Ltd.’s new “Jade College” project in Beijing’s northwestern Haidian district, which by 2020 is expected to have over 1,300 rental housing units. Read more>>
Hainan Clamps Down on FTZ Land Rush
China’s island province Hainan on Monday announced measures to rein in specualtion in the soaring residential property market, following a new policy which designates the province as the country’s new frontier for reform and opening-up.
Hainan is set to develop into a pilot free trade zone, according to the guideline issued by the central government last week. Read more>>
SG Co-Living Operator to Open Second Space
Co-living startup Hmlet is launching its second fully co-living building in Singapore at 6 Sarkies Road in the Newton neighbourhood.
Hmlet, which will lease the entire 30,000 square foot building from ANB Investment, will rebrand the building as Hmlet @ Sarkies and offer living space for up to 80 members. Under the co-living arrangements, members will share flats and have access to monthly events such as yoga classes, networking sessions, book clubs and cocktail evenings. Read more>>
Sunac to Issue $1.1B in Senior Notes
Sunac China Holdings (1918) announced that it will issue US$1.1 billion worth of senior notes, including US$650 million senior notes due 2021, with an annual interest of 7.35 percent, and US$450 million senior notes due 2023, with an annual interest of 8.35 percent.
It says in a stock exchange filing, that the purpose of the notes issue are to optimize the debt structure of the company. The proceeds are set to be used for re-financing the company’s existing indebtedness and for other general corporate purposes. Read more>>
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