New World’s $11 Billion Refinancing Gambit Must Get 100% Support

As distressed Hong Kong builder New World Development Co. gathers more support from banks for its targeted HK$87.5 billion ($11.1 billion) loan refinancing, a key part of the terms shows that it must get 100% in commitments, or the deal will fall through.

Documentation for the potential borrowing shows that if New World doesn’t achieve a 100% approval rate by June 30, any collateral pledged would be released and bank commitments canceled, people familiar with the matter said.