Hatten Land bondholders agree to defer repayment again

CATALIST-LISTED Hatten Land on Wednesday said that the holders of its US$25 million, 8-per-cent guaranteed secured bonds due 2020 have agreed to let it defer repayment on the bonds for the third time.

This time, the repayment date will be extended to Aug 8, 2020. Issued in 2018, the bonds were meant to mature on March 8. Hatten Land had first deferred repayment to June, and then obtained approval again last month to extend the maturity date until July 8.  

The property developer said it has also obtained approval from its bondholders to extend the maturity date of the bonds on a monthly basis till June 8 next year. All bondholders will need to agree to the extension each month, said Hatten Land. If not, the bonds will mature on the last extended maturity date.

In a regulatory filing on Wednesday, Hatten Land said this will enable the company to update the bondholders on its plans regularly and progress with the repayment of the bonds. 

The interest rate of 10 per cent applies to the unpaid principal and interest during the extended period, payable monthly in arrear on the 8th of each month. The terms and conditions of the bonds remain unchanged.

It also noted that the "extent and duration of the impact from the Covid-19 pandemic on the company's businesses and refinancing effort is uncertain", as this would depend on factors such as the containment of the pandemic.

Shares of Hatten Land fell 0.2 Singapore cent or 2.86 per cent to S$0.068 on Wednesday.