Chinese fantasy developer Reuters denies a claim against the unit’s shareholders

HONG KONG (Reuters) – Chinese developer Fantasia Holdings has denied that a creditor who lost a payment had a $ 96.98 million loan secured by shares in the property management unit.

TFI Securities and Futures Ltd told Fantasia that it had the right to enforce the unit’s 780 million share charge, the Color Life Services Group said, Fantasia said in a dossier filed on the Hong Kong Stock Exchange on Friday night.

The shares of Fantasia, which have been suspended since Nov. 29, will begin trading on Monday, he said.

The developer, who lost the $ 205.7 million payment due on October 4, is one of the Chinese developers who failed to pay off the debt, sending a shock to the global financial markets in recent months for fear of blows. about the consequences around the world.

China’s largest peer-to-peer Evergrande Group and Kaisa Group, the country’s two largest piles of offshore debt, have lost their terms of offshore bond payments this week, and Fitch has downgraded the rating agency to a “reduced default”.

In a presentation on Friday, Fantasia said it had sold its interests in a development in eastern China’s Ninbgo to raise liquidity tensions of 200 million yuan ($ 31 million).

The developer said that its main land unit reached an agreement last month with the holders of a 7.8% yuan bond that will be extended to 2024 next year, and the interest to be paid on November 29 in installments.

Moody’s (NYSE 🙂 withdrew its Fantasy ratings on Friday because there was not enough information.

Late last month, Fantasia said a lawsuit was filed against a unit linked to a $ 149 million loan.

President Pan Jun said on Monday that the company’s WeChat account had discussed an initial proposal to restructure its foreign debt with its financial and legal adviser, and was actively talking to 95% of its $ 4 billion offshore bondholder. has identified.

Fantasy hired Houlihan Lokey (NYSE 🙂 as his financial advisor and Sidley Austin as his legal advisor in October.

($ 1 = 6.3685 renminbi)