Chinese property developer Shimao Group said on Monday that China Construction Bank (Asia) had filed a liquidation petition against it over a financial obligation of HK$1,579.5 million ($201.75 million), reports Reuters. Shimao said in a Hong Kong stock exchange filing it would “vigorously” oppose the lawsuit and press on with its proposed plan to restructure about $11.7 billion of offshore debt, with an aim of cutting it by 60%.
“The company is of the view that the Petition does not represent collective interests of the company’s offshore creditors and other stakeholders,” Shimao said in the filing. China Construction Bank did not respond immediately to a request for comment.
The liquidation petition comes after similar action was taken by creditors against property sector giants China Evergrande Group and Country Garden.