top of page

DEXIN CHINA HOLDINGS COMPANY LIMITED - EXCHANGE OFFER EXTENSION

EXTENSION OF THE CONSENT FEE DEADLINE



Full announcement available via HKX.



 

Previous:-


Full announcement available via HKX.




"INTRODUCTION


On the date of this announcement, Dexin China Holdings Company Limited, a company

incorporated in the Cayman Islands with limited liability, commenced the exchange offer (the “Exchange Offer”) for at least US$313,470,000, or 90%, of the outstanding principal amount of the Existing Notes (the “Minimum Acceptance Amount”) upon the terms and subject to the conditions set forth in the exchange offer memorandum dated November 18, 2022 (the “Exchange Offer Memorandum”) relating to the Exchange Offer. As mentioned under the heading “Background and Purpose of the Exchange Offer” of this announcement, the Company believes that the Exchange Offer, if successfully completed, can improve the Company’s financial condition, extend its debt maturity profile and improve its cash flow.


To facilitate the implementation of a restructuring of the Existing Notes, we may, as an alternative to the Exchange Offer, consider launching a scheme of arrangement in Hong Kong (and/or a scheme of arrangement in any other relevant jurisdiction at the sole discretion of the Company) (the “Scheme”) to effect a restructuring of the Existing Notes on terms similar to the Exchange Offer but open to all holders of the Existing Notes (including U.S. persons (as defined in Regulation S of the U.S. Securities Act of 1933, as amended (the “Securities Act”)), as contemplated in the term sheet attached to the form of the Restructuring Support Agreement (the “Restructuring Support Agreement”) set forth in Appendix A to the Exchange Offer Memorandum.


Unless otherwise defined, capitalized terms in this announcement will have the same meaning as those defined in the Exchange Offer Memorandum.


BACKGROUND AND PURPOSE OF THE EXCHANGE OFFER


Since the second half of 2021, Chinese property developers and the related capital markets

have experienced an inflection point. The Chinese government has continued to take measures to stabilize the development of the real estate sector. Reduced bank lending for real estate development has resulted in reduced access by property developers to onshore capital. In addition, real estate sales declined significantly due to the overall macro economy affected by COVID-19 and concerns about the ability of real estate developers to complete projects as a result of a number of negative credit events. As a result of the drastic changes in market conditions, the majority real estate developers in China experienced a contraction in operating and financing cash flows.


Against the backdrop of the adverse market conditions and resurgences of COVID-19 outbreaks, our total unaudited contracted sales for the six months ended June 30, 2022 decreased by approximately 55.0% as compared to the same period in 2021. We anticipate that the market condition in the real estate sector will remain under pressure in 2023. In addition, in light of the widespread threats by homeowners to halt mortgage payments in early July 2022, the government and banks have further strengthened regulation of commercial housing presale capitals to ensure timely deliveries of presold homes and safeguard people’s livelihoods.


We believe that the Exchange Offer, if successfully completed, can improve our financial condition, extend our debt maturity profile and improve our cash flow. If the Exchange Offer is not successfully consummated, and we are unable to extend the maturities of the Existing Notes, we may have to consider alternative debt restructurings, including resorting to a scheme of arrangement to effect a restructuring of the Existing Notes pursuant to the terms of the Restructuring Support Agreement (the form of which is set forth in Appendix A to the Exchange Offer Memorandum)."








0 views0 comments

Comentarios


bottom of page