New World Development (HKG:0017) told some creditors this week that there is limited room to improve the terms of its proposed $1.9 billion debt exchange, Bloomberg News reported Thursday, citing people familiar with the matter.

The discussions come as some creditors voiced reservations about the plan's structure, according to the report.

A special purpose vehicle would issue the new perpetual notes without a direct New World guarantee, a change that some creditors fear could reduce recourse if coupon payments are halted, Bloomberg said.

Creditors also sought clarity on whether New World planned another proposal to address the remaining $1.3 billion of perpetual bonds, even if the current swap is fully subscribed, the report said.

The property developer reportedly said that it has no plans for additional offers.

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