CWT fully redeems its $100m notes on maturity

HNA'S Singapore-based logistics unit CWT Pte Ltd has redeemed in full its $100 million notes maturing yesterday, together with the accrued interest, it announced.

The Singapore-dollar denominated Series No. 001 notes, which carry a 3.9 per cent coupon, last traded over the counter on April 11 at 94.5 cents to the dollar, according to records on Bloomberg.

Note holders had been bracing themselves for the worst when CWT's parent company, Hong Kong-listed CWT International, said on Tuesday that it had failed to pay interest on a HK$1.4 billion (S$243.2 million) facility. It faces asset seizure for the default.

But Singapore's CWT operates independently from its parent and it is business as usual, The Business Times understands. CWT's business is ring-fenced from the parent.

Since Tuesday, three Singapore landlords - Mapletree Logistics Trust, Cache Logistics Trust and AIMS Apac Reit - have also come out to say that CWT, one of their top tenants, has been up to date on its rental payments.

CWT became a part of the Chinese conglomerate HNA Group in 2017, when HNA privatised Singapore-listed CWT through a special vehicle of Hong Kong-listed HNA Holding Group. Later, HNA Holding Group was renamed CWT International.

A version of this article appeared in the print edition of The Straits Times on April 19, 2019, with the headline 'CWT fully redeems its $100m notes on maturity'. Print Edition | Subscribe