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)

More from our Sister Sites