Some offshore bondholders of China Evergrande Group did not receive coupon payments by the end of a 30-day grace period, five people with knowledge of the matter said, pushing the cash-strapped property developer closer to formal default.
Adding to a liquidity crisis in China's once bubbling property market, smaller peer Kaisa Group Holdings was also unlikely to meet its $400 million offshore debt deadline on Tuesday, a source with direct knowledge of the matter said.
Failure by Evergrande to make $82.5 million in interest payments due last month would trigger cross-default on its roughly $19 billion of international bonds and put the developer at risk of becoming China's biggest defaulter — a possibility looming over the world's second-largest economy for months.
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