Yuzhou’s Chapter 15 Bankruptcy: Seeking US Court Recognition for Restructuring Procedure

Sunday, 25 August 2024, 07:38
Scheme meetings are crucial as Yuzhou Group Holdings seeks US court recognition under Chapter 15 bankruptcy. This chapter allows the Shenzhen-based builder to manage offshore debt restructuring while avoiding litigation. With US$6.8 billion in liabilities and a comprehensive restructuring plan, Yuzhou aims to stabilize its operations amidst the challenging property market in Hong Kong and China.
South China Morning Post
Yuzhou’s Chapter 15 Bankruptcy: Seeking US Court Recognition for Restructuring Procedure

Yuzhou's Chapter 15 Bankruptcy Filing

Yuzhou Group Holdings filed for Chapter 15 bankruptcy on Thursday in New York, a strategic move by the defaulted property developer to seek US court recognition for its offshore debt restructuring and avoid potential litigation. The Shenzhen-based builder, unable to pay US$2.9 billion in dollar notes as of the end of 2023, is currently undergoing a restructuring procedure in Hong Kong and the Cayman Islands.

Legal Implications of Chapter 15

In its court filing, Yuzhou's board was advised to “seek recognition by this court of the Hong Kong proceeding as a foreign main proceeding for the debtor.

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