HONG KONG (Reuters) – A unit of Chinese developer Shimao Group said on Friday it is in talks with China Credit Trust Co to resolve a loan with a payment of 645 million yuan ($101.10 million) still outstanding.
The unit, Shanghai Shimao Construction, said the missed payment will not accelerate payment requests in the open bond market.
The trust company said on Thursday Shimao has defaulted on a loan after missing the 645 million yuan payment, in the latest sign of distress in China’s property sector.
($1 = 6.3797 Chinese yuan renminbi)
(Reporting by Clare Jim; Editing by Christian Schmollinger)
