China Evergrande gains six-month extension for Hengda onshore coupon payment

A visitor poses for pictures at Castle Hotel on the man-made Ocean Flower Island, an integrated resort development by China Evergrande Group, in Danzhou, Hainan province, China January 7, 2022. REUTERS/Aly Song

HONG KONG, April 27 (Reuters) – China Evergrande Group’s (3333.HK) flagship unit Hengda Real Estate Group Co Ltd said its creditors have approved a six-month extension of a 574 million yuan ($88 million) coupon payment for an onshore bond that was due on Wednesday.

It is the latest of several payment extensions for Evergrande’s onshore bonds.

Struggling with more than $300 billion in liabilities, the giant property developer defaulted on some payments for its offshore bonds last year.

Onshore bondholders of Hengda’s 7% 2026 bond have agreed to delay the coupon payment to Oct. 27, Hengda said in a filing late on Tuesday.

Evergrande said last month it would unveil a debt restructuring proposal for its offshore creditors by the end of July. read more

Evergrande’s dollar bond due April 2023 traded at 11.815 cents on the dollar on Wednesday morning, versus 12.247 a day earlier.

($1 = 6.5445 yuan)

Reporting by Clare Jim; Editing by Edwina Gibbs

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