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Huarong Bonds Drop After Report Regulators Consider Restructuring

  • Several options being considered for offshore unit, Reorg says
  • Regulators said last week China Huarong was operating normally
A pedestrian walks past the China Huarong Tower in Hong Kong.

A pedestrian walks past the China Huarong Tower in Hong Kong.

Photographer: Lam Yik/Bloomberg
Updated on

China Huarong Asset Management Co.’s dollar bonds sank Tuesday after Reorg Research reported regulators are considering options for the company that include restructuring the debt of its offshore unit.

A debt restructuring is one of several options under discussion and a decision is far from finalized, according to the report, which cited people familiar with the matter. Reorg is a New York-based provider of credit data and analytics. Almost all of China Huarong’s $22 billion in dollar bonds are issued or guaranteed by China Huarong International Holdings Ltd., the offshore unit.