China's Peking Founder seeks bond repayment delay to Feb 2020 -sources

Peking University Resources (Holdings)

20/12/2019 07:44

BEIJING/SHANGHAI, Dec 20 (Reuters) - China's Peking
University Founder Group  PEKIN.UL  asked investors on Friday to
extend the grace period to repay an overdue onshore China bond
until Feb. 21, 2020, according to two sources familiar with the
matter. 
    The company missed a payment deadline for 2 billion yuan
($285 million) worth of maturing short-term commercial paper on
Dec. 1.  urn:newsml:reuters.com:*:nL4N28D2KE 
    The state-owned company affiliated with a top Chinese
university proposed using Hong Kong-listed shares of Bank of
Chongqing  1963.HK  as collateral at a meeting with bondholders
in Beijing on Friday, the sources said
    Up to $2.95 billion of Peking Founder's offshore U.S. dollar
debt could cross-default upon the onshore paper's failure,
Japanese brokerage Nomura has warned  8604.T . 
    Reuters has not been able to reach Peking University Founder
Group for comments. 

    ($1 = 7.0085 yuan)

 (Reporting by Xiaochong Zhang in Beijing and Andrew Galbraith
in Shanghai; Writing by Noah Sin in Hong Kong; Editing by Tom
Hogue)
 ((Noah.Sin@thomsonreuters.com; +852 2841 5782; Reuters
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