PJT Holds Call With New World Bondholders on Loan Talks
- Debt adviser discusses whether there is a risk of default
- New World is seeking to refinance $7.5 billion of loans
The New World Tower, which houses the headquarters of New World Development Co., in Hong Kong.
Photographer: Paul Yeung/BloombergDebt adviser PJT Partners Inc. held a call with some New World Development Ltd. dollar-bond holders Thursday to discuss whether the distressed developer’s ongoing loan talks could eventually risk a default on its bonds, according to people familiar with the matter.
PJT raised the possibility that certain insolvency clauses in New World’s dollar bonds could come into play after the company started talks with bank lenders, according to a draft letter to New World seen by Bloomberg News.