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China Evergrande's offshore bond default imminent; bondholders' advisor says - Metro US

China Evergrande’s offshore bond default imminent; bondholders’ advisor says

Headquarters of China Evergrande Group in Shenzhen

HONG KONG (Reuters) – China Evergrande Group is expected to default on its offshore bond payment obligations imminently, investment bank Moelis & Co, which has been selected as an advisor by a group of the cash-strapped developer’s bondholders said on Friday.

Evergrande, which is facing one of the country’s largest defaults as it wrestles with more than $300 billion of debt, has already missed coupon payments on dollar bonds twice last month.

The missed payments, worth a combined $131 million, have left global investors wondering if they will have to swallow large losses when 30-day grace periods end for coupons that were due on Sept. 23 and Sept. 29.

(Reporting by Scott Murdoch, Anshuman Daga, Clare Jim, Writing by Sumeet Chatterjee)

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