(Bloomberg) -- Defaulted Chinese developer Logan Group Co. unveiled a revised term sheet for its $8 billion offshore debt restructuring, reducing the amount of debt eligible for cash payouts for creditors.
In the updated plan, holders of existing offshore notes are being offered four options, including receiving $15 cash for every $100 of bond principal with accrued interest waived, according to a Monday filing with Hong Kong’s stock exchange.
But the debt that can be exchanged under this option would be capped at $787 million, down from $1.267 billion under the terms released in January.
If Logan is able to secure enough support, it would be a major step in its yearslong restructuring progress. The builder, once the nation’s 20th-biggest builder by sales, said in its filing that it had reached agreement on the revised terms with some offshore creditors. But it is unclear if it has gained backing from a key group of bondholders that it has been working to win over.
The homeseller, which has more than 150 residential developments in China, has also amended the conversion prices for mandatory convertible bonds provided in the options and tenors of new dollar notes it will offer under the revised plan.
Prices of Logan’s dollar bonds are trading at distressed levels, below 10 cents on the dollar, according to data compiled by Bloomberg.
©2025 Bloomberg L.P.