Representatives of a local-government financing vehicle in China have told some creditors the firm may launch a dollar bond tender offer, according to people familiar with the matter.
Details of a possible offer by Chongqing Nan’an Urban Construction & Development (Group) Co. weren’t immediately clear and are subject to change, said the people, who asked not to be identified as the matter is private.
The LGFV from China’s southwest city of Chongqing was trying to identify holders this week of its two dollar bonds that mature next year, one of the people said. The notes, one due in June and the other in July, have a combined $650 million of principal, according to data compiled by Bloomberg. Prices of both are indicated around 98 cents on the dollar.
Calls to an officer in charge of information disclosure at the LGFV went unanswered Wednesday.
