Hyundai Merchant Marine’s creditors agree to $570m debt-for-equity swap

Creditors of South Korean container-freight logistics provider Hyundai Merchant agreed to a debt-to-equity swap involving the company’s debt of KRW 680bn ($570m), according to lead creditor Korea Development Bank.

The agreement is contingent on conditions including Hyundai Merchant Marine joining an alliance involving major shipping firms.

Source: Reuters

Kaisa’s debt restructuring plan receives creditor approval

Kaisa Group, the Shenzhen-based property developer which defaulted on its USD-denominated bonds, reached a debt restructuring agreement approved by bondholders at meetings held by courts in Hong Kong and the Cayman Islands.

Based on an agreement reached last week, the company restructured nearly RMB 17bn in offshore debts

According to lawyers involved, 96% of shareholders by value attended the restructuring meeting and more than 99% voted to back the plan, exceeding the 75% threshold as per local law.

There remains a final legal process to obtain the US court’s recognition of Hong Kong and the Cayman Islands court sanctions, as the company was using US law to deal with offshore creditors.

The company expects the offshore restructuring to be completed by the end of June 2016.

Kaisa was on the verge of bankruptcy last year due to a liquidity crunch, but the situation improved after the Shenzhen government partially lifted the sales ban on its developments.

However, more than 1,000 apartment units owned by the company in Shenzhen remain seized.

Kaisa’s shares in Hong Kong have been suspended since March 2015.

Source:   South China Morning Post