News and Deals
News and Deals
Linklaters advised Yuzhou Group Holdings Limited (Yuzhou Group) on the successful restructuring of its offshore debt of approximately US$6.7bn in principal amount. Yuzhou Group is a leading residential and commercial property developer listed on the Hong Kong Stock Exchange, with operations spanning key regions in Greater China, including the Guangdong-Hong Kong-Macao Greater Bay Area and the Yangtze River Delta.
This restructuring, implemented through a highly innovative, multi-faceted approach combining schemes of arrangement and consent solicitation across several jurisdictions, was completed over a period of three years. After securing strong support from the creditors and the sanction of both the Hong Kong SAR and Cayman Islands courts, the restructuring became effective on 29 August 2025. This marks another successful offshore debt restructuring completed by Linklaters for a major Chinese real estate company.
The restructuring plan was highly innovative, incorporating various types of notes with novel terms, equity issuances and rights issues. It featured the market’s first-ever consent solicitation conducted before a bond issuance, and included the waiver of approximately US$1.4bn in accrued interest on pre-restructuring debt. The success of this restructuring will significantly reduce Yuzhou Group’s financial leverage, ease its debt burden and provide the company with greater flexibility to address the structural challenges faced by the industry in recent years.
Linklaters' cross-jurisdictional multidisciplinary team worked closely with Yuzhou Group throughout the process, providing tailored, holistic solutions and comprehensive support under US, English, and Hong Kong law.
The Linklaters team, comprising members from the firm’s Hong Kong SAR, Singapore and New York offices, was led by partner William Liu and counsel Shan Jiang. The leading team also included restructuring and insolvency partners Richard Woodworth and Andrew Payne, litigation, arbitration and investigations partner Denise Fung, corporate partner Donnelly Chan, as well as US restructuring and insolvency partner Christopher Hunker. Other core team members included counsel Diantha Ho, Christian Felton and Bernard Ng, supported by Kenneth Kong, Guiliang Liu, Shuopeng Yin, Elio Cunico, and Inez Wong.
Partner William Liu commented:
"The successful completion of Yuzhou Group’s restructuring is a testament to our fantastic multidisciplinary offering, demonstrating Linklaters’ unique strengths across capital markets, restructuring and insolvency, banking, corporate, as well as litigation, arbitration and investigations. Our teams worked tirelessly in providing innovative solutions for complex financing transactions through exceptional collaboration and commercial insight. We are delighted to have supported Yuzhou Group and to have delivered this positive result – many congratulations to all!"