Core Viewpoint - Baolong Commercial (09909.SH) is undergoing a debt restructuring process initiated by its controlling shareholder, Baolong Real Estate (01238.HK), which includes options for creditors to exchange or pledge shares of Baolong Commercial for debt relief [2][3]. Group 1: Debt Restructuring Details - On October 10, Baolong Real Estate signed a restructuring support agreement for its offshore debt, allowing for the transfer of up to 32.4% of Baolong Commercial's shares to creditors [2]. - The restructuring plan includes various options for creditors, such as cash payments, shares of Baolong Commercial, and convertible bonds, with a cash option offering 12% of the claimed amount [2][3]. - The cash for the restructuring will be sourced from the sale or pledge of Baolong Commercial shares, amounting to $40 million, with proportional distribution if claims exceed this amount [2]. Group 2: Historical Context - Baolong Real Estate has faced challenges in meeting its debt obligations, having defaulted on $21.29 million in notes in 2022 and unable to pay $15.9162 million in interest due in April 2023 [3]. - The company has been in negotiations for nearly a year to finalize its debt restructuring, with a previously set effective date for the plan now extended to no later than September 30, 2026 [2][4]. - As of now, Baolong Real Estate holds approximately 63% of Baolong Commercial's outstanding shares, totaling 405 million shares [4].
支援宝龙地产债务重组 宝龙商业股份被“摆上货架”