[The Epoch Times, 5 novembre 2022](Full report by Li Siqi, reporter from Epoch Times Special Department) Another Chinese companyPrivate construction companyTuono. Top 15 real estate companies in the top 10 sales performance rankings in the first 10 monthsAsahiThe holding recently announced that due to the deterioration in cash flow, it has suspended all payments of external debt, but will repay internal debts to “maintain internal debt”.financing“。
In the fourth quarter of 2022, Chinese property developers had total debt maturities of $ 53.7 billion, including onshore and offshore bonds and loans, as well as domestic fiduciary loans; full-year debt maturing was $ 238 billion. A November 1 Bloomberg report released statistics on the debt of these Chinese real estate developers.
Although the total maturing debt of Chinese property developers in 2023 is about 25% lower than in 2022, due to thereal estateThe market is sluggish, sales have declined sharply from year to year, and the pressure on real estate developers to repay their debts is still high.
China Index Academy (China Index Academy, referred to as China Index Academy) published the “China Index from January to October 2022” on October 31st.real estateBusiness sales performance ranking. Total corporate sales of the top 100 major real estate companies in the first ten months of this year were 6,095.46 billion yuan (RMB, the same below, about 8,500 million US dollars), down 43.4% year on year. over year; October sales fell 26.5% year-on-year.
In the first 10 months of the ranking of sales of real estate companies in China,AsahiHolding Group (00884.HK) entered the top 15, with a turnover of 113.38 billion yuan (about 15.9 billion US dollars), ranking 14th, and a sales area of 7.81 million square meters, ranking 13th. However, on November 1, CIFI Holdings revealed that it had failed to reach any late repayment agreement with all creditors under the foreign debt in October and that it had suspended payment of principal and interest due on all debts. abroad— – The debt has exploded.
According to the 2022 interim financial report released by CIFI Holdings on September 29, the amount of contracted sales in the first half of the year decreased by 53.6% on an annual basis, net profit decreased by 64.5% on an annual basis. year and the profit attributable to shareholders fell by 79.7%.
CIFI Holdings’ announcement stated: “The market has deteriorated further since September, sales have been weak and the industry hasfinancingIt has become more difficult and the Group’s cash flow has deteriorated more than expected ”; “At the same time, some of the Group’s loans have activated early redemption clauses due to the rating downgrade and the pressure to repay abroad has increased significantly in the short term” and sufficient liquidity for future obligations ”.
As of November 1, according to statistics from the China Index Research Institute, more than 300 provincial and municipal governments in China have changed their policies more than 900 times to stimulate the real estate market. With an average of 90 policy adjustments per month, the “golden nine and silver ten” phenomenon expected by the Chinese real estate market has not materialized. “Golden Nine and Silver Ten” refers to September and October, which are the traditional peak sales periods in the Chinese real estate market.
Xuhui’s debt repayment strategy
As of November 1, CIFI Holdings’ offshore debt (including bank loans, senior notes and convertible bonds) amounted to approximately US $ 6.85 billion and total principal, interest and related additional unpaid payments were approximately US $ 414 million. of US dollars.
In the announcement, CIFI Holdings said it “suspended payments to all foreign creditors” and at the same time made clear that it would “make every effort to ensure domestic delivery, operation and financing.”
Chu Hanshi, a senior Chinese financial professional living in the UK, told The Epoch Times on November 4: “Judging by CIFI Holdings’ performance this year, it is more cautious in acquiring land and in the third quarter of this year. year, sold a number of projects to raise funds. “
On July 11, CIFI Holdings sold Shanghai CIFI Pure Center Building 6 to Shanghai Lingai for 187 million yuan (approximately US $ 2,600). On August 31, CIFI Holdings raised a total of approximately HK $ 628 million (approximately US $ 82 million) through the allotment of shares at a discount. On September 6, CIFI Holdings announced that it would sell its Hong Kong property to Huawang Co., Ltd. for a transaction fee of HK $ 1.338 billion (approximately US $ 170 million). On 9 September, the three Lin brothers, CIFI’s controlling shareholder, continued to transfer assets and transferred part of the capital of the Nanjing leasing project from CIFI Holdings to the Lingyu long-term rental apartment, with a return of 117 million. yuan. (about 16 million US dollars).
Chu Hanshi believes that CIFI Holdings is “rich”, “but it has to support its internal business first, because its business is in China, so it also says that internal debts are repaid on schedule”, “because there is no way to borrow new debts to pay off old debts is no longer possible at home and abroad, so I have completely renounced debts abroad “.
as once favored by the outside worldPrivate construction company, CIFI Holdings obtained credit enhancement from China Bond Credit Enhancement Corporation in August and is currently participating in the second round of domestic credit enhancement and bond issuance projects. The China Securities Journal, the official media of the Chinese Communist Party, reported on Nov.3 that insiders bluntly stated that the biggest concern of lead bond underwriters in underwriting bonds of private real estate companies is “not to be able to sell “.
Responsible editor: Lian Shuhua #
