Country Garden Default Is All But Official, Restructuring Looms

It’s likely just a formality before Country Garden Holdings Co.’s missed dollar bond interest payment is declared a default, as creditor focus shifts to a potential debt restructuring for the distressed Chinese developer.

China’s former top builder hasn’t offered fresh comments after saying Wednesday it doesn’t expect to be able to meet all offshore payment obligations on time. It cited China’s home market weakness and its own subdued sales as reasons, according to a statement to Bloomberg News at that time, adding that it hopes to seek a “holistic solution” to its debt problems.