China property facing key Kaisa test

Kaisa's loan default is a crucial test for offshore investors and lenders. Should Kaisa flunk it, access to funding could be shut off for many property firms.

China property facing key Kaisa test

With a bond interest payment looming, all eyes are on Kaisa after it defaulted on a bilateral bank loan, triggering broader concerns for the Chinese property sector and its ability to continue accessing offshore funding markets.

The default by Kaisa this month on a HK$400 million $51 million loan with HSBC could yet trigger a cross-default on about $2.5 billion worth of its offshore bonds, potentially marking a first for China's sizeable and troubled...

FinanceAsia has updated its subscription model. Registered readers now have the opportunity to read five articles from our award-winning website for free. Please subscribe for unlimited access.

Click for more on: kaisa | loans | bonds

Print Edition

FinanceAsia Print Edition

EVENTS