An independent director says he was not kept ready to speed up important matters
Fantasia’s October 4 omission, coupled with poor sales figures from Chinese developers, raises concerns that the sector’s difficulties extend far beyond the ailing China Evergrande Group..
Property bonds sold out sharply last week, and as of Monday, a real-estate-heavy ICE BofA index of Chinese junk bonds was yielding about 20.7%.
The Hong Kong-listed company said it was looking for new directors to replace Ms. Wong and Mr. Ho.
Local stock-exchange regulations require companies to have at least three independent directors, and these directors are required to represent at least one-third of the total board. At least one must have an accounting qualification or relevant expertise in accounting or financial management. The company said that of the seven current directors of Fantasia, only one is independent and does not have the requisite experience.
Shenzhen-headquartered Fantasia has said it is working with the support of local governments and others to solve its problems. It asked American restructuring expert Houlihan Loki Inc. for advice. and has hired a unit of the law firm Siddeley Austin.
Fantasia stock has been suspended since September 29. Its dollar bond due in March 2024 was quoted at 19.5 cents in the dollar on Monday, according to Refinitiv, down from 49.1 cents a month ago.
The high-end developer is owned by Zeng Jie, also known as Baby Zeng, niece of former Chinese Vice President Zeng Qinghong. As of the end of June, according to its interim report, 47 projects were under construction in cities across China, including Beijing, Wuhan, Tianjin and Ningbo.
anniek bao [email protected] . Feather