HONG KONG, Sept 19 (Reuters) – Troubled Chinese developer Country Garden (2007.HK) has won approval from its creditors to extend the repayment of another onshore bond, the last in a series of eight bonds to which he requests an extension, two close sources have learned. with the said affair.
The 492 million yuan ($67 million) land bond was issued by a subsidiary of Country Garden, and the company delayed voting on the bond three times before creditors voted Monday to extend it of the deadline, the sources said.
The maturity of the bond was extended by three years, said the sources, who requested anonymity because they were not authorized to speak with the media.
Under the terms of the deal, the issuer, Guangdong Giant Leap Construction Co, would provide as much as 200 million yuan as collateral for the bond, the two sources added.
Country Garden, whose financial woes have hit the outlook for China’s real estate sector, earlier proposed extending the maturity of eight onshore bonds worth 10.8 billion yuan by three years. Creditors approved plans for seven bonds last week.
Country Garden did not immediately respond to Reuters’ request for comment.
($1 = 7.2946 Chinese yuan renminbi)
Reporting by Steven Bian in Shanghai, Kevin Huang in Beijing and Xie Yu in Hong Kong; Editing by Sumeet Chatterjee and Lincoln Feast
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