Chinese Developer Sino-Ocean’s Bonds Plunge After Coupon Delay

Sino-Ocean Group Holding Ltd.’s dollar bonds tumbled after the Chinese developer told some noteholders it will defer a coupon payment, in the latest example of the property sector’s cash crunch.

The state-backed company’s 6.876% perpetual subordinated security fell 15.9 cents to 28.5 cents on the dollar as of 5:56 p.m. in Hong Kong, marking its biggest fall since April 2020, according to Bloomberg-compiled prices. Other offshore bonds from Sino-Ocean, China’s 27th-largest builder this year by contracted sales, dropped about 10 cents.

The selloff came after Sino-Ocean told some bondholders it will postpone an interest payment originally scheduled for Tuesday ...