Evergrande paid $83.5 million bond interest: Chinese media – News Couple

Evergrande paid $83.5 million bond interest: Chinese media

Residential complex by Chinese real estate developer Evergrande in Beijing. Chinese state media Securities Times reported that debt-laden Evergrande transferred funds to pay principal interest that was due on September 23 – before a 30-day grace period.

Noel Siles | AFP | Getty Images

Evergrande transferred the money to pay principal interest that was due on September 23 — before a 30-day grace period ending Saturday, according to Chinese state media Securities Times.

Shares of Evergrande rose more than 4% on that news.

Interest payments of $83.5 on Evergrande offshore bonds in March 2022 have been closely watched since the debt-laden real estate developer warned twice in September that it could default. Dollar bonds are largely owned by foreign investors.

The Securities Times report said that Evergrande plans to make the interest payments on schedule on October 23, and that the beleaguered real estate developer has transferred $83.5 million through Citibank. The bank declined CNBC’s request for comment.

CNBC has also reached out to Evergrande for comment.

Evergrande missed four more coupon payments in September and October. There are other interest payments on its US dollar bonds due in November and December.

In total, Evergrande has defaulted at least $279 million in payments since last month, according to Reuters, and that number will include the Sept. 23 payment.

The world’s largest indebted real estate developer is saddled with more than $300 billion in debt, and is struggling to raise money to pay suppliers and investors.

Markets widely expected Evergrande to default on interest payments, with analysts saying domestic investors would take priority over foreign investors.

However, last week, China’s central bank said real estate companies that issued bonds overseas – referred to as offshore bonds – should actively fulfill their debt obligations.

– This is a sophisticated story. . Please check back for updates

Source link

Related Articles

Leave a Reply

Your email address will not be published. Required fields are marked *

Back to top button