The issue will be one of the first by a Chinese developer this year in a US dollar bond market amid concerns about the health of the property sector after a series of defaults

The 5-year notes carry a coupon of 4.40%, while the 10-year notes have a 4.70% coupon, below the sovereign's initial price guidance

Exchange-traded funds and foreign mutual funds that invest in Chinese yuan bonds saw a record outflow – of $2.3 billion – in the week to May 18, according to Refinitiv Lipper data

Overseas investors held Chinese bonds valued at 3.77 trillion yuan ($558.77 billion) at the end of April, according to calculations, down 2.8% from a month earlier

The developer had been struggling to secure bondholders consent for the notes due in May and July 2022 totalling $729 million.

Zhongliang is struggling to repay notes worth $729m. Even if it wins approval to extend bond coupons by a year, it would need to pay an extra $1.25 million due to the weak yuan

The developer had been planning to use presale funds due to pay $29.5 million in interest on the bond that was required to be repaid last month

Chinese investors are pumping funds into bonds, deposits and the money market, as Covid lockdowns slow the economy – and stock markets slump

The move is aimed at helping companies better manage their debts and protect investors' interests, the National Association of Financial Market Institutional Investors said

The central bank risks upsetting the public as the weak yen drives up the price of imported goods going into Japan's upper house election expected on July 10

Onshore bondholders of Hengda's 7% 2026 bond have agreed to delay the coupon payment to October 27, Hengda said in a filing

Investors are "ditching China on an unprecedented scale", because of Beijing's zero-Covid policy, the global rise in interest rates, and sanction risks from Russia's war in Ukraine, it says