HONG KONG (AP) — Embattled Chinese language property developer Nation Backyard expects to succeed in a cope with its collectors in February to restructure billions of {dollars} in debt, the corporate’s lawyer advised a Hong Kong courtroom Monday.
One of many largest Chinese language actual property corporations, Nation Backyard defaulted on $11 billion in offshore bonds in 2023 and mentioned earlier this month that its debt restructuring proposal would scale back its $16.4 billion offshore debt by 70%.
The Hong Kong courtroom adjourned Nation Backyard’s case till Might 26 after the corporate requested for extra time to strike a cope with collectors.
Nation Backyard is one in every of dozens of property corporations caught up in a crackdown on extra borrowing that led many to default on its money owed. It mentioned final week that it posted a web lack of 12.84 billion yuan ($1.76 billion) within the first six months of 2024. In 2023, it reported a web lack of 178.4 billion yuan ($24.4 billion).
The agency had delayed posting the outcomes its 2023 and 2024 interim outcomes.
The debt-ridden property sector, as soon as one of many strongest engines of progress for the world’s second-largest financial system, is struggling to tug out of a protracted downturn.
House costs throughout China have fallen, at the same time as policymakers have launched measures similar to lowering mortgage prices, lending to property builders and making it simpler to purchase houses.
