Dasin Retail Trust served notice of default for 400 million yuan onshore loan facility
Michelle Zhu
DASIN Retail Trust has received a notice declaring that an event of default has occurred under its onshore syndicated term loan facility of up to 400 million yuan (S$74.6 million).
Issued by the Bank of China’s Zhongshan branch as the facility and security agent of the onshore facility, the bank is claiming an outstanding sum of 355.2 million yuan plus interest after the term loan matured on Dec 31, 2022.
This interest shall go on accruing until full payment is made by Dasin Retail Trust’s subsidiary, Zhongshan Yuanxin Commercial Property Management, noted the trustee-manager late on Monday (Sep 4).
Notices of these facilities were dated Aug 31, and issued to the trust’s subsidiaries, including Zhongshan Yuanxin.
Dasin’s trustee-manager said it is continuing to explore available options for the restructuring exercise with lenders under its various facilities.
The announcement comes weeks after Dasin Retail Trust received separate notices of default occurring under its Singapore dollar and US dollar-denominated offshore syndicated term loan facility of up to S$430 million, as well as a Singapore dollar and Hong Kong dollar-denominated offshore syndicated term loan facility of up to S$106.6 million.
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Both the S$430 million offshore facility and 400 million yuan onshore facility were used to finance the Reit’s acquisitions of its initial portfolio, comprising Xiaolan Metro Mall, Ocean Metro Mall, Dasin E-Colour and Shiqi Metro Mall.
The S$106.6 million offshore loan facility was to finance the acquisition of Doumen Metro Mall.
Units of the Reit closed unchanged at S$0.079 on Monday, prior to its latest announcement.
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