SHIMAO GROUP (00813.HK) Liquidation Hearing in HK Adjourned to 31 July

　　Bloomberg reported that the High Court of Hong Kong has adjourned the liquidation hearing of SHIMAO GROUP (00813.HK) -0.010 (-1.316%) to 31 July, following a winding-up petition filed by CCB (Asia) in April over SHIMAO's failure to repay a $1.58 billion loan.

　　It is learnt that after SHIMAO's previous debt restructuring proposal was opposed by a key group of creditors, the homebuilder has been negotiating with its creditors to amend the terms of the restructuring, which involved lowering the conversion price of the convertible bonds.

　　According to the report, the previous restructuring terms gave the creditors the option of converting the principal of the debt into zero-coupon mandatory convertible bonds with a conversion price of $8.5 and a maturity of one year. However, as the current price of SHIMAO's shares is less than $0.8, the creditors have asked the company to adjust the conversion price downward, but it is not clear what is SHIMAO's stance at the moment.

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