Reorg Blog

What is unfolding in the China real estate industry is a dichotomy of the haves and have-nots. Weaker credits are more susceptible to negative news headlines and finding access to financing quickly evaporating. Stronger companies continue to enjoy good relationships with banks and issue new bonds. A report in November from state-funded research outfit Beijing China Index Academy revealed that certain onshore bonds issued by state-owned entities have coupon rates of 3.5% or lower, compared with industry averages of 4.4% onshore and 6.6% offshore. State-owned enterprises more readily receive support from peers, banks and government agencies. State banks are also...

Whether you're conducting Asian high-yield credit analysis for your clients or your teammates, there are thousands of source documents, case documents, tear sheets, and recovery models that you need to sort through and examine in order to provide the best service. Not only do you need to continually collect all of this data and intelligence, but you also need to stay up to speed with all of the news and insights on financial situations that are breaking on a daily and hourly basis. In order to help optimize your workflow in conducting Asian high-yield credit analysis we have developed our Asia...

Join Reorg as we discuss Latin American airline restructurings including discussions on Aeromexico, Avianca, and LATAM Airlines. These airline operators were forced to restructure in 2020 because of the COVID-19 pandemic's impact on the airline industry and since the chapter 11 cases are approaching their conclusion, our Americas Core Credit coverage team will provide an overview of each debtor's plan of reorganization, as well as a discussion of what each company's capital structure and operations will look like, post emergence. Dec 16, 2021 11:00 AM in Eastern Time (US and Canada) Presenting on the webinar will be: Edward Cerullo, Corporate Credit...

Join the Reorg EMEA team to discuss the Hilding Anders covenant breach as the crisis begins to loom closer. Hear more about the situation including the context, the legal and the financial analyses and have your questions answered by the panel. The panel will be moderated by Rob Schach, Reorg Editor Distressed Debt and Restructuring. Panel experts include: Garan Dhillon, Reorg High Yield Credit Analyst Chetna Mistry, Reorg Senor Director, Legal A Q&A session will take place at the end of the panel discussion. Webinar details are below: When: Wednesday, Dec. 8, 11 a.m. GMT / 12 p.m. CET

Written by Ian Howland, Research and Data Analyst || While chapter 11s across nearly all sectors continue to cruise well below the levels of prior years, there has been a recent uptick in cases reporting more than $1 billion in liabilities. Three billion-dollar bankruptcies were filed in the seven-day stretch of Nov. 11 through Nov. 17, after three others filed over the Oct. 14-Oct. 31 period. As a result, one-third of all year-to-date billion-dollar chapter 11s have been filed within the past six weeks. Notwithstanding this recently elevated activity, billion-dollar filings are down 67% year-over-year from 2020, 31% from 2019...

Chinese homebuilder and construction company Jiangsu Zhongnan Construction has been in the news due to exposure to Evergrande receivables. Liquidity of the home builder has been under pressure given that Evergrande is its single-largest customer. Our Asia Core Credit reporters got hold of a statement Zhongnan made to investors, disagreeing with S&P’s decision to lower its credit ratings to B- citing perceived weakening liquidity. In its statement, Zhongnan said it has further reduced its leverage ratios, and that its cash against short-term borrowings was up over the June 30 level. In a second story about Zhongnan last week, we reported that the company told...