China Sun makes $4 million repurchase of 0% convertibles due 2011

By Jennifer Chiou

New York, Jan. 14 - China Sun Bio-chem Technology Group Co. Ltd. announced that it bought back $4 million of its $100 million of zero-coupon convertible bonds due 2011.

On Dec. 2, the company said that holders of $14.1 million of the bonds canceled the exercise of their put options. As already noted, the cancellation reduced the amount of convertibles for which put options had been exercised to $73.2 million.

According to a news release, the company is continuing to explore ways to resolve issues with its convertibles. It previously said it was in discussions with the bondholders to settle part of the convertibles.

The company said on Oct. 26 that it had received notice of an event of default and that the trustee had the ability to declare the convertibles due if requested by holders of 25% or more of the outstanding convertibles.

At the time, holders had put $87.3 million of the convertibles.

The company said on Nov. 12 that it made a tentative proposal to settle the event of default and that the proposal was not accepted by the holders.

China Sun is a Beijing-based investment holding company.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.