S&P Downgrades Kaisa to Default After Missed Coupon Payments

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Standard & Poor’s downgraded Kaisa Group Holdings Ltd. to default after the troubled developer failed to make coupon payments on two of its dollar-denominated bonds.

“We do not anticipate the company will make the payment within the 30-day grace period, given its stressed liquidity,” the ratings company said in an e-mailed statement Tuesday, adding that it also doesn’t expect Kaisa to pay its other debt obligations, considering its ongoing negotiations with onshore and offshore creditors.