Chinese language property developer Kaisa’s liquidation listening to adjourned By Reuters

By Xie Yu

HONG KONG (Reuters) -A Hong Kong courtroom on Monday adjourned a listening to on a petition looking for the liquidation of Kaisa Group till June 24, giving the embattled Chinese language developer some respite as it really works on its debt restructuring plan.

Kaisa shares surged practically 6% in early Hong Kong commerce on the information.

The Shenzhen-based developer has been engaged on an offshore debt restructuring for 2 years after defaulting on $12 billion in offshore debt in late 2021.

The matter earlier than the courtroom issues the non-payment of 2023 notes with an excellent principal of $750 million and Citicorp Worldwide, the trustee of a significant group of bondholders, has been appearing as petitioner since March after a former petitioner withdrew.

The rationale for the adjournment was not disclosed. A spokesperson for Kaisa mentioned they had been discussing particular phrases of the restructuring plan with the bondholder group.

Kaisa is China’s second-largest issuer of offshore debt amongst property builders after China Evergrande (HK:) Group and was the primary Chinese language property developer to default on its greenback bonds in 2015.

China Evergrande was ordered to liquidate by a Hong Kong courtroom earlier this 12 months and a rising listing of firms within the sector, together with Nation Backyard, are preventing towards liquidation petitions filed by collectors.