---
title: "[Mainland Property Sector Dilemma] Zhuhai Huafa Group Reportedly Redeems Overdue Trust Products for Some Investors"
type: "News"
locale: "en"
url: "https://longbridge.com/en/news/303532687.md"
description: "Zhuhai Huafa Group has reportedly redeemed overdue trust products for some investors to alleviate repayment concerns. Previously, its offshore bonds faced sell-offs, with its 2027-maturity bonds dropping significantly. Huafa recorded substantial losses due to the property downturn and sought to extend loan deferment periods with banks. This move highlights that state-owned enterprises are also affected by real estate credit risks, with its subsidiary Huafa Properties also deferring the disclosure of its quarterly report"
datetime: "2026-10-29T09:16:00.000Z"
locales:
  - [zh-CN](https://longbridge.com/zh-CN/news/303532687.md)
  - [en](https://longbridge.com/en/news/303532687.md)
  - [zh-HK](https://longbridge.com/zh-HK/news/303532687.md)
generator: "portal-rs"
---

# [Mainland Property Sector Dilemma] Zhuhai Huafa Group Reportedly Redeems Overdue Trust Products for Some Investors

ET Net News Agency Special Report on the 29th: According to Bloomberg, citing sources familiar with the matter, China's local state-owned enterprise Zhuhai Huafa Group has redeemed an overdue trust product for some investors. It is understood that in the past few days, Zhuhai Huafa held one-on-one meetings with bondholders online and offline in an attempt to alleviate concerns about bond repayments.

Huafa Group's offshore bonds were sold off this week. Data compiled by Bloomberg shows that Zhuhai Huafa's RMB-denominated offshore bonds maturing in 2027 have fallen by about 38% so far this week, dropping to around 60% of their face value on the morning of Thursday (28th).

Bloomberg reported on Monday (26th) that Zhuhai Huafa, with debts totaling $62 billion, failed to redeem two recently matured trust products on schedule. The company also requested some Chinese banks to extend the Deferment Period of loans and lower interest rates.

The report pointed out that the debt difficulties faced by Zhuhai Huafa Group highlight that the years-long slump in China's real estate market continues to bring credit risks, with even state-owned enterprises not immune. Last year, about half of Huafa Group's revenue came from real estate development and urban operations, recording a total loss of 16.9 billion yuan for the year, attributing profit volatility to the sluggish real estate market.

Huafa Properties (SH: 600325), the real estate development subsidiary under Zhuhai Huafa, previously announced on the Shanghai Stock Exchange that it would defer the disclosure of its third-quarter report until October 31, but did not specify the reason for the delay.

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---
> **Disclaimer: This article is for reference only and does not constitute any investment advice.**