Central China Real Estate seeks consents for $300 million 12¼% notes

By Jennifer Chiou

New York, March 6 - Central China Real Estate Ltd. and its subsidiaries announced a consent solicitation for its $300 million of 12¼% senior notes due 2015.

The solicitation will end at 5 p.m. ET on March 16.

The company is offering a consent fee of $5.00 per $1,000 of notes to those who validly deliver consents.

According to a filing with the Singapore Exchange, the company said that it has in the past conducted - and expects to continue to conduct - certain of its business through jointly controlled entities as "an effective means for the group to access capital."

As an example, Central China cited its cooperation with Bridge Trust Co., Ltd. to establish two real estate funds to provide additional financing for its property projects.

The purpose of the solicitation is to collect consents from holders of at least a majority of the notes to provide amendments and waivers that will "alleviate the unnecessary administrative expenses and other burdens with respect to transactions with jointly controlled entities," the filing stated.

The waivers will clear the company from any and all claims arising from any and all past defaults under the indenture.

Deutsche Bank Trust Co. Americas is the trustee.

D.F. King & Co., Inc. is the information and tabulation agent (212 269-5550 or 800 290-6431; centralchina@dfking.com).

The investment holding company primarily engages in the property development business in the Henan Province of China.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.