Defaulted China property developer launched bond again.
China’s first developer defaulted on overseas bond in 2015, resurfaced and launched bond again. Hong Kong-listed Kaisa Group said it had raised USD805 million in three new bonds sales on September 20, mainly for refinancing purposes. That includes a USD95 million 7.25% bond due in 2020; a USD100 million, 8.5% bond due in 2022; and a USD610 million, 9.375% bond due in 2024. The Shenzhen-based developer became the first Chinese developer to default on an offshore bond in 2015 and shares were suspended in the same year. The shares resumed trading in March this year after a two-year suspension despite three consecutive years of losses and a net debt-to-equity ratio of 348% at the end of June.