Chinese conglomerate Tunghsu Group has been downgraded to SD from CCC- by S&P Global after it missed interest and principal payments on three domestic bonds, the rating agency said.
The missed payments include principal and interest payments on the company’s 700 million yuan onshore private bond, which was due on December 27, interest payment due on January 20 on its 997 million yuan onshore corporate notes maturing on January 18, 2021, and principal and interest payment on its 1.03 billion yuan onshore private bond, which was due on January 23.
The company’s dollar bonds due in June are still being serviced. The bonds are trading at 36/37 cents on the dollar, which is considered a distressed level with a high chance of a default.
