(Reuters) - Global funds that invested in China Evergrande Group's bonds have come up with their own debt restructuring plan for the property developer and demanded that its chair repay liabilities with his own fortune, the Financial Times reported on Tuesday, citing two people familiar with the matter.
With more than $300 billion in liabilities, Evergrande, once China's top-selling developer, has been at the centre of the crisis and its debt restructuring plan is seen as a possible template for others.
Bondholders submitted a proposal that laid out a framework to restructure Evergrande's $20 billion of offshore debts in recent days after the company missed a deadline in July to present a plan to meet its colossal liabilities, the report said.
The foreign creditors also proposed that Evergrande chair Hui Ka Yan buy new shares issued by the company and use the capital to repay part of its offshore debts, the report added. (https://on.ft.com/3TrZOcY)
Evergrande said in July it would offer its offshore creditors asset packages that may include shares in two overseas-listed units as a sweetener.
Evergrande could not be immediately reached for a comment.