Paper company Youyuan defaults on HK$2.6bn of debt

Paper 230x150
By Pan Yue
06 Sep 2019

China’s Youyuan International Holdings, a wrapping tissue paper maker, has defaulted on a total of HK$2.6bn ($332m) of debt, including a $135m loan sealed in April.

Hong Kong-listed Youyuan has breached two covenants on its outstanding debt. One of the covenants states that the company cannot suspend trading in its shares for more than 14 days. But Youyuan halted trading in its stock on the morning of August 19 after the stock price tumbled ...

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