Bank of New York Mellon Engaged in Sino-Ocean's Complex US$5.6 Billion Debt Restructuring Efforts

Monday, 23 September 2024, 06:00

Bank of New York Mellon is involved in Sino-Ocean Group's US$5.6 billion debt restructuring amidst ongoing legal challenges. The Beijing-based developer received a reprieve from a liquidation petition following claims of progress in negotiations in Hong Kong and the UK. The restructuring discussions include key terms concerning mandatory convertible bonds and timelines for hearings in both jurisdictions.
Scmp
Bank of New York Mellon Engaged in Sino-Ocean's Complex US$5.6 Billion Debt Restructuring Efforts

Bank of New York Mellon and Sino-Ocean's Ongoing Debt Restructuring

Chinese developer Sino-Ocean Group recently attained a crucial reprieve on its liquidation hearing, initially set for three months at the Hong Kong High Court. Following their outlined plan to approach both Hong Kong and UK courts for a coordinated restructuring of US$5.6 billion in debt, Justice Linda Chan acknowledged that the developer had made some progress.

Legal Underpinnings and Upcoming Hearings

  • Sino-Ocean was facing a liquidation petition filed by the Bank of New York Mellon, which represents bondholders seeking recovery for US$400 million in debt.
  • The restructuring proposal received approval from over 75% of its loan creditors, which is necessary under the Companies Act of 2006 to entreat the UK Court to consider their restructuring request.

Upcoming hearings are pivotal; the UK High Court will convene on October 18, while the Hong Kong High Court will address Sino-Ocean's case on October 31. These hold immense implications for the property market and investor confidence in China’s key sectors.


This article was prepared using information from open sources in accordance with the principles of Ethical Policy. The editorial team is not responsible for absolute accuracy, as it relies on data from the sources referenced.


Related posts


Newsletter

Get the most reliable and up-to-date financial news with our curated selections. Subscribe to our newsletter for convenient access and enhance your analytical work effortlessly.

Subscribe