Chinese Developer Aoyuan Cut to Restricted Default by Fitch
- Action follows Aoyuan announcement on not paying dollar bonds
- Moody’s also withdrew Aoyuan’s ratings earlier Friday
This article is for subscribers only.
China Aoyuan Group Ltd. was downgraded to restricted default by Fitch Ratings two days after the Chinese developer flagged its intention to renege on debt obligations.
Aoyuan hasn’t provided further information to the rating agency beyond its announcement that it won’t make payments on four dollar bonds, which would trigger defaults on all other offshore debt, Fitch said in a statement Friday. Earlier in the day, Moody’s also withdrew its ratings on the builder citing insufficient information.