09-22-2021, 12:40 AM
(This post was last modified: 09-22-2021, 03:27 AM by crimsonghost747.)
It's a confusing situation, but from what I can gather from quickly reading the news is that they will make the payments on the local bonds now. This was apparently worth $35.9 million.
This is just from an article:
"Evergrande is set to make its onshore bond payment on time, but the developer has not indicated whether it will be able to pay $83.5 million in interest due on its March 2022 bond VG158043114= on Thursday. It has another $47.5 million payment due on Sept. 29 for March 2024 notes VG158786753=."
I see many other articles reference the $35.9 million figure, so would be logical that this latest "of course we will pay" is indeed the smaller, local, bond interest. And that is definitely the government stepping in to make sure the local bonds get paid, they do not want this to spread.
Thursday may be interesting when it's time to pay the bonds that are due to foreign investors.
Edit: I should add that I'm not entirely sure if they are actually paying the interest on those local bonds, or whether they reached some sort of a deal to get around it. (such as an extension or some type of restructuring)
This is just from an article:
"Evergrande is set to make its onshore bond payment on time, but the developer has not indicated whether it will be able to pay $83.5 million in interest due on its March 2022 bond VG158043114= on Thursday. It has another $47.5 million payment due on Sept. 29 for March 2024 notes VG158786753=."
I see many other articles reference the $35.9 million figure, so would be logical that this latest "of course we will pay" is indeed the smaller, local, bond interest. And that is definitely the government stepping in to make sure the local bonds get paid, they do not want this to spread.
Thursday may be interesting when it's time to pay the bonds that are due to foreign investors.
Edit: I should add that I'm not entirely sure if they are actually paying the interest on those local bonds, or whether they reached some sort of a deal to get around it. (such as an extension or some type of restructuring)