China’s Sino-Ocean to issue US$4 billion in convertible bonds to creditors

CHINESE property developer Sino-Ocean Group said on Tuesday (Oct 29) it would issue new zero-coupon, two-year mandatory convertible bonds and new interest-bearing, perpetual securities to creditors for a total value of US$4 billion. The state-backed company received a winding-up petition in late June, filed by The Bank of New York Mellon in a Hong Kong court. This issuance, along with new debts worth US$2.2 billion, forms a part of the indebted developer’s US$5.64 billion offshore debt restructuring plan as it attempts to raise funds to repay its creditors. Sino-Ocean was one of the Chinese property firms that defaulted on offshore bonds after the country’s property sector collapsed in mid-2021. REUTERS