Date
18 October 2017

CDB may throw lifeline to trust product defaulter, paper says

China Development Bank and three other companies are expected to inject 5 billion yuan (US$820 million) into the restructuring of heavily indebted Shanxi Liansheng Energy Co. Ltd., which defaulted on a trust product earlier this month, the 21st Century Business Herald reported Tuesday. Once the new capital is in place, Liansheng will first need to repay bank loans, the paper said. CDB is the coal producer’s biggest creditor and has taken a lead role in talks over its restructuring. As of Dec. 31, Liansheng owed 4.27 billion yuan to CDB.

– Contact HKEJ at digest@ejinsight.com

KZ/AC/SK

 

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