China Developer Yuzhou Needs Cash to Proceed With Restructuring

Distressed Chinese developer Yuzhou Group Holdings Co.needs financing to press ahead with an offshore restructuring plan that received court approval last year, according to a company lawyer.

The builder will use the next six months to “shore up its liquidity in advance of making the payments due on the restructuring effective date,” Christopher Hunker, a counsel at Linklaters on behalf of Yuzhou, said during a Tuesday bankruptcy court hearing in New York.

Financing difficulties have led to delays implementing the plan, the company said earlier this month in an exchange filing. Creditors last week approved a Yuzhou proposal ...