A missed payment on a China Evergrande Group unit’s yuan bond is raising questions about the usefulness of recent debt extensions granted by Chinese investors.
There are seven Hengda Real Estate Group Co. bonds with a combined 45 billion yuan ($6.2 billion) of principal on which payments were pushed out to 2024, according to Bloomberg calculations. Just this week, the unit didn’t pay a separate 4 billion yuan note that investors exercised early redemption options on.
That failure adds to heightened liquidation risks for China’s one-time largest builder. In a sign of deepening distress, Evergrande scrapped creditor meetings for votes ...
