China State-Backed Builder Rocks Bond Market With Delay Plan
- Greenland was once viewed as shielded from the property crisis
- Firm’s June 25 note is down nearly 50 cents the past two days
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A Chinese property company long considered among the nation’s most resilient shocked investors with a proposed dollar-bond payment delay, raising fresh doubts about the financial strength of the industry’s higher-rated borrowers.
Greenland Holdings Corp., whose shareholders include the Shanghai government, is asking holders of a $488 million dollar note due June 25 to delay repayment by a year, a rare sign of stress at a state-linked firm. Its bond price tumbled from highs of 92 cents on the dollar to a record low of 41 cents in recent days as fears of an extension were confirmed.