Hong Kong-listed property developer Sunac China (1918.HK) faces a liquidation petition filed by a unit of China Cinda Asset Management (1359.HK), according to the Hong Kong judiciary’s website. The hearing for the petition is scheduled for March 19, 2025.
Key Developments
- The petition adds to the mounting financial troubles of Sunac, which was once one of China’s leading property developers.
- The company recently completed a comprehensive restructuring of its $9 billion offshore debt in November 2023, marking a significant milestone in its recovery efforts.
- However, sources earlier this week indicated that Sunac might fail to meet a September bond maturity deadline, which is a critical part of its restructuring process.
Background
Sunac was among the top property developers in China before the 2021 debt crisis severely impacted the sector. The crisis led to a wave of defaults, including by major players such as Evergrande.
No Immediate Comments
Neither Sunac nor China Cinda Asset Management has commented on the liquidation petition.
The case underscores the persistent challenges faced by China’s property sector as developers grapple with debt restructuring and liquidity issues in a slow recovery market.