Country Garden, New Developments in Debt Restructuring

NightAirdropper · 2026-02-26T05:48:00+00:00

Country Garden Properties announced that it plans to conduct a total of 9 corporate bond restructurings within 2025, with a maximum buyback amount of 450 million yuan. The restructuring aims to balance the company's sustainable operations with creditor returns, offering multiple options to meet different risk preferences, and is expected to be completed by 2026.

NightAirdropper

2026-02-26 05:48:00

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On February 24, Country Garden Holdings Company Limited announced that the company and its related parties, Country Garden Holdings Limited and Tengyue Construction Technology Group Co., Ltd. (collectively referred to as the “Restructuring Entities”), held nine bondholder meetings within 2025 to review and approve the “Proposal for the Overall Restructuring of This Bond Issue” (the bonds involved are collectively referred to as the “Restructuring Proposal”). According to the terms of the Restructuring Proposal, the Restructuring Entities plan to use their own funds to buy back the bonds, with a total purchase cap of 450 million yuan.

According to the share issuance report disclosed by Country Garden, the company has issued a total of 41.655 billion shares. After the restructuring plan is implemented, the total new shares issued will amount to 13.727 billion. Additionally, Country Garden has paid bondholders $398 million in cash, accounting for about 2% of the principal of the restructuring debt, with performance far exceeding market expectations.

The announcement shows that the bond repurchase registration period is from February 27, 2026, to March 12, 2026 (trading days only), and the payment date for the repurchase funds is April 2, 2026. Bondholders who complete the bond repurchase agree to waive all interest accrued on the repurchased bonds, with no conditions attached. The full repurchase price of the bonds = net repurchase price = remaining face value of the bonds × 12% per bond. According to the Restructuring Proposal, besides this buyback option, the Restructuring Entities will continue to promote other restructuring options such as stock options and general debt options for the bonds. A diversified toolkit including “new notes + convertible bonds + mandatory exchange bonds” provides flexible choices for creditors with different risk preferences. Overall, the plan balances Country Garden’s sustainable operation with reasonable returns for creditors, achieving a win-win situation for all parties.

Text, Video | Reporter Zhang Jiapei

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