In today’s roundup of regional news headlines, developer Sunac China reaches a deal with holders of 30 percent of its offshore debt, and Best Mart 360’s co-founders enter an agreement to sell a large stake in the Hong Kong store operator.
Sunac Unveils Sweetened Restructuring Offer for $9.1B in Offshore Debt
Sunac China Holdings has sweetened a restructuring offer to holders of $9.1 billion of the troubled developer’s offshore debt.
The company has reached an agreement with a group of offshore creditors representing over 30 percent of its outstanding debt, it said Tuesday in a filing with the Hong Kong stock exchange, becoming the latest of China’s big developers to propose a restructuring. Read more>>
Best Mart 360 Founders Enter Deal to Sell 49% Stake to China Merchants
Hong Kong’s Best Mart 360 Holdings announced Monday that co-founders Hugo Lam and Hui Ngai Fan had entered agreements to sell 490 million shares of the chain store operator to China Merchants Hoi Tung Trading, representing 49 percent of the total issued shares.
The total consideration for the sale shares is HK$862.4 million ($109.9 million). Lam and Hui will each continue to hold their respective retained shares, representing 26 percent of the total issued shares. Read more>>
Embassy REIT Acquires Embassy Business Hub in Bengaluru for $41M
Embassy Office Parks REIT has agreed to acquire Embassy Business Hub in Bengaluru for a total enterprise value of INR 3.35 billion ($41 million) with exclusive ownership rights to 1.4 million square feet (130,064 square metres) of leasable area on full completion, the company said in a BSE filing.
Embassy REIT plans to primarily fund the acquisition through debt at 8.1 percent interest, for which it has secured binding commitments from ICICI Bank and Bajaj Housing Finance, the company said in the filing. Read more>>
Freehold Restaurant Floor at Oxley Tower for Sale at S$12.9M
An entire freehold strata floor at Oxley Tower, located along Robinson Road in Singapore’s central business district, is up for sale through an expression of interest exercise with a guide price of S$12.9 million ($9.7 million).
The 3,025 square foot (281 square metre) floor is on level 20 of the tower, offering a panoramic 360-degree view of the CBD. The guide price is S$4,231 per square foot of total strata area. Read more>>
Chinese Property Companies Making Headway In Debt Talks
The bottleneck in Chinese property companies’ debt restructurings is starting to ease.
Chinese real estate firms missed payments on more than $30 billion in international bonds last year, according to S&P Global Ratings. Investors have complained about the slow pace of progress in restructuring talks. But these negotiations are starting to gain momentum, and investors say several more deals will be announced soon. Read more>>
Global Creditors Face Long Fight With China Developers for Money
Global creditors are bracing for a long-drawn battle to recover money from China’s troubled developers, as a property meltdown continues to roil the nation’s $735 billion offshore bond market for a third straight year.
Frustrated dollar bondholders have been trying all they can to make defaulters pay, but their efforts have largely been stymied by lengthy debt restructuring processes and litigation. Below their onshore peers in the pecking order, a few have appealed for intervention by regulators. Many have even resorted to winding-up petitions, a risky legal action that could backfire by triggering fire sales at distressed prices. Read more>>
Land Supply Boost to Make Hong Kong Competitive: John Lee
Hong Kong needs to find sufficient land for its housing needs and economic development so it can be better than other places, Chief Executive John Lee said Tuesday.
“It’s not about competing with ourselves, it’s about competing with the rest of the world. We need to do better than others,” Lee told reporters before going into this week’s Executive Council meeting. Read more>>
Vietnam Government Calls for Broad-Based Measures to Help Realty Sector
The Ministry of Construction, the Ministry of Finance and the State Bank of Vietnam have been urged to make a joint effort to support Vietnamese realty firms facing legal entanglements, especially those involved in corporate bond issuances and bank mortgages.
Realty firms have been told to focus more on developing low-end segments to increase the availability of affordable housing for low-income homebuyers and workers. Read more>>
Tune in again soon for more real estate news and be sure to follow @Mingtiandi on Twitter, or bookmark Mingtiandi’s LinkedIn page for headlines as they happen.
Leave a Reply