On September 12, sources familiar with the matter revealed that SHIMAO GROUP (00813.HK) has secured a three-year extension for a HK$10 billion loan tied to its luxury apartment project Beacon Peak located in Beacon Hill, Kowloon Tong, Hong Kong. The loan was originally scheduled to mature at the end of September. According to the sources, this extension represents a crucial component of the company's offshore debt restructuring initiative.
The project site consists of a residential land parcel at Yan Ping Road, Tai Po Tsai, Kowloon, which SHIMAO GROUP acquired on September 29, 2015, for HK$7.02 billion, translating to approximately HK$11,101 per square foot of gross floor area. The land covers approximately 20,401 square meters, with the total project investment estimated to range between HK$12 billion and HK$15 billion.
According to previous announcements from SHIMAO GROUP, all restructuring conditions for the company's offshore debt reorganization have been successfully achieved, with the restructuring effective date confirmed as July 21. Upon implementation of the plan, existing offshore debt with a principal amount of approximately US$11.5 billion will be discharged and cancelled, significantly reducing the group's overall debt burden and financial pressure.
Regarding domestic debt obligations, SHIMAO GROUP indicated in June that the company has been actively negotiating with domestic lenders and creditors for loan extensions or restructuring arrangements. As of the announcement date, the group has successfully secured extensions for domestic loans totaling approximately RMB 9.3 billion principal amount in 2025, with the longest extension period reaching 2030.
At the corporate level, SHIMAO GROUP generated revenue of RMB 14.827 billion during the first half of the year. Property sales revenue accounted for RMB 8.905 billion, representing 60.1% of total revenue.
As of the end of June, SHIMAO GROUP's cash and bank balances (including restricted cash) totaled RMB 15.357 billion, of which RMB 4.129 billion was restricted cash and RMB 4.135 billion consisted of pre-sale supervision funds.