China Shanshui Cement Group’s bonds rose after the company announced that it has taken over the headquarters of its main operating unit following a management dispute, according to a report by Bloomberg.
The manufacturer has taken over the premises of the unit Shandong Shanshui Cement Group with the assistance of local police in the northern city of Jinan. Its US$500 million of 7.5% notes due in 2020 rose 3.4 cents on the dollar to 71.9 cents.
The firm, which defaulted on onshore debt last year, announced plans in January to repay the 2020 securities. Concern had risen as new management backed by shareholder Tianrui Group struggled to take over the unit following a shareholder vote.
Edited from source by Joseph Green. Source: Bloomberg