China’s stressed developers face nearly $1.3 billion of bond payments in December, after a month in which investor sentiment toward the property sector showed signs of stabilizing despite fresh signs of liquidity pressure.
The total was $2 billion in November, and there have been no defaults reported according to Bloomberg-compiled data as of Friday, after multiple instances in October. Still, investor scrutiny persists regarding principal and interest payments as a cash crunch engulfs the real estate industry. Center stage is China Evergrande Group and Kaisa Group Holdings Ltd., two of the country’s biggest dollar-bond issuers. An Evergrande unit and Kaisa have grace periods ending by mid-December on a combined $170.9 million of coupons.
