HONG KONG (Reuters) -A group of offshore creditors of China South City is set to file a lawsuit against the debt-laden developer's biggest state-owned shareholder for dues, four sources said, in what would be the first such case in the crisis-hit property sector. China South City earlier this month missed a principal payment of $11.25 million on a dollar bond due on Feb. 9, and is deemed by creditors to be in default on offshore debts worth $1.3 billion, two bondholder sources said. The group of creditors, who have formed a so-called ad-hoc group, is preparing to file the lawsuit in a Hong Kong court against state-owned Shenzhen SEZ Construction and Development Group Co., which owns 29% of the company, the four sources said.
A group of offshore
creditors of China South City are set to file a
lawsuit against the debt-laden developer s biggest state-owned
shareholder for dues, four sources said, in what would be the
first.
Any liquidation of
property giant Evergrande hinges on Chinese authorities
recognising the ruling of a Hong Kong court, in a decision that
could also effect the city s standing as a global.
Evergrande's fate hinges on recognition of China authori malaya.com.ph - get the latest breaking news, showbiz & celebrity photos, sport news & rumours, viral videos and top stories from malaya.com.ph Daily Mail and Mail on Sunday newspapers.