Shenzhen govt seen wooing developers to invest in Kaisa

Beijing

THE Shenzhen government is holding talks with several property developers in a bid to orchestrate investments in Kaisa Group Holdings Ltd, people familiar with the matter said on Thursday. The government doesn't want stakes to be sold at a discount, one of the people said, asking not to be identified because the discussions are private.

Kaisa, a developer based in the southern Chinese city of Shenzhen, failed to make US$23 million coupon payment, due Jan 8, on its US$500 million of 2020 dollar bonds, putting it at risk of becoming the first real estate company in China to default on its US currency debt.