Shimao plans to increase $947 mln belief mortgage funds by two years -sources

SHANGHAI, Feb 16 (Reuters) – Chinese language property developer Shimao Group (0813.HK) plans to increase funds of a belief mortgage value 6 billion yuan ($947 million) by two years, it informed a web based assembly with collectors on Wednesday, in line with a memo and two sources who attended.

The Shanghai-based developer, which defaulted on a belief mortgage final month, has been scrambling to increase debt with collectors and get rid of belongings to lift funds. learn extra

Shimao proposed to repay the principal and curiosity of the belief mortgage in query – of which 1.3 billion yuan will develop into due on Thursday, and the remainder later this yr – in phases within the coming three years, the sources mentioned.

The belief mortgage was used to finance a growth in Shenzhen.

Shimao additionally mentioned it was in talks, facilitated by the Shenzhen authorities, with state-owned enterprises, together with Shenzhen Funding Holdings, to introduce strategic buyers within the growth.

Shimao didn’t instantly reply to request for remark.

($1 = 6.3386 Chinese language yuan renminbi)

Reporting by Jason Xue and Steven Bian in Shanghai, Shuyan Wang in Beijing and Clare Jim in Hong Kong; enhancing by Jason Neely and Barbara Lewis

Our Requirements: The Thomson Reuters Belief Ideas.