Chinese developer Sino-Ocean expects to generate $2.8 billion cash to repay offshore debt

(Reuters) – Chinese property developer Sino-Ocean Group said on Tuesday its restructuring plan was being implemented in an orderly manner and it expects to generate $2.8 billion in cash over the next decade to repay its new financing instruments.

In July, the state-backed firm had reached an agreement with some of its creditors to restructure its $5.64 billion offshore debt, stating it would repay the existing debt with new loans and notes worth $2.2 billion, convertible bonds or interest-bearing perpetual securities.

Sino-Ocean had faced a winding-up petition filed by the Bank of New York Mellon (NYSE:BK) in a Hong Kong court in late June, the hearing for which has been currently adjourned to Dec. 23.