Hong Kong property developer New World Development said on the 6th that it has launched a debt exchange offer allowing holders to swap part of its bonds maturing in 2027 and 2028 for new secured notes maturing in 2032. The aim is to ease short-term repayment pressure and strengthen liquidity. Newly established subsidiary New VD BondCo plans to issue up to $600 million of 7.375% senior secured notes due 2032 in exchange for existing bonds. The offer covers three series of U.S. dollar-denominated notes with a combined principal of about $991 million, including bonds maturing in January 2027, June 2027 and February 2028. The offer is scheduled to close on October 20 this year. The company said the purpose is to optimise its debt maturity profile, increase balance sheet flexibility and improve its overall financial position. Last week, as part of a broad effort to reduce liabilities, the company expanded a loan facility by about HK$1 billion, or roughly $12.744 million, and terminated its operating rights to a commercial complex adjacent to Hong Kong International Airport.
New World Development Co LtdNew World Development launched a debt exchange offer of up to $600 million to ease short-term repayment pressure and strengthen liquidity.
