Chinese developer Guangzhou R&F Properties faces liquidation petition in Hong Kong
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Guangzhou R&F Properties said its unit had received a winding-up petition from a Singapore-based private equity fund due to non-repayment of a loan.
PHOTO: AFP
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Hong Kong - Chinese property developer Guangzhou R&F Properties said on July 9 that its unit Trillion Glory had received a winding-up petition from a Singapore-based private equity fund due to non-repayment of a loan.
The petition was filed on July 8 at a Hong Kong court by Seatown Private Credit Master Fund, which holds an 18 per cent interest in the total outstanding loan amounting to US$613.66 million (S$828.5 million).
Cash-strapped R&F is the latest Chinese property developer facing a liquidation suit filed by creditors.
In June, state-backed Sino-Ocean Group said it was facing a winding up petition from The Bank of New York Mellon and China Evergrande Group was ordered to liquidate earlier in 2024.
R&F said in a filing that the petition would not have any meaningful impact on its business.
It said the loan was pledged over a unit indirectly holding 68 hotels and one office building in China, and a secured creditor could enforce the collateral instead of petitioning for winding-up, which it said would be destructive in company value and diminish recoveries for creditors.
R&F is one of the obligors of the loan and its other subsidiary, R&F Properties (HK), is one of the guarantors.
The petition is scheduled to be heard before the High Court on Sept 25.
Earlier in 2024, R&F launched its second bond exchange for its US$5.7 billion dollar notes in a deal that helped the company dodge a loan default and cut debt size.
In June, it also extended the repayments of its onshore bonds. REUTERS
