Troubled Kaisa has sold four prime property projects to Sunac China for Rmb2.3 billion $369 million, giving the company some cash to keep it afloat but dealing a blow to offshore bondholders hoping for a white knight.
Previously, media reports had said that Sunac would buy a 49.3% stake in the Hong Kong-listed Kaisa, fuelling hopes that it would rescue the troubled developer.
The appearance of a white knight is still possible and both Kaisa and Sunac's stock remain suspended. However, disappointed investors chose to dump the bonds.
The key beneficiaries of the property sales are deemed to be...