(Yicai Global) May 25 -- Oceanwide Holdings has repaid USD146 million of the USD280 million bond it issued in May 2019, and it plans to postpone the repayment of the principal and interest on the remaining USD134 million until August 23, the financial and real estate holding company announced yesterday.

Oceanwide’s [SHE:000046] stock price closed down 1.46 percent at CNY2.7 (USD41.9 US cents) today, giving it a market value of about CNY14 billion (USD2.2 billion). Its share price has plummeted since last July and is currently trading near the record low of CNY2.6.

The Beijing-based company said that it is facing phased cash-flow matching problems due to the macroeconomic environment, real estate policy controls, the financial regulatory environment, and the effects of the pandemic at home and abroad.

The maturity of the bond issued by Oceanwide Holdings in May 2019 was two years, with an interest rate of 14.5 percent. The funds raised were used to repay domestic and foreign debts and for other general purposes, the announcement said.

The company said it is making every effort to raise funds to pay back its debts, and has confirmed some reliable funding sources. It will also accelerate real estate sales, and the company’s controlling shareholder, China Oceanwide Holdings Group, intends to sell some overseas assets to provide further financial support.

On May 18, Oceanwide Holdings announced that 294 million shares held by China Oceanwide Holdings Group had been frozen, accounting for 5.66 percent of the company’s total shares. According to the announcement, the frozen shares will be sold by public auction.

A series of failed financial projects resulted in a loss of CNY4.6 billion (USD715.3 million) for Oceanwide Holdings last year. In the first quarter this year, the company's revenues surged 165.94 percent on a yearly basis to CNY6.21 billion, but net profit attributable to shareholders fell CNY149 million (USD23.2 million), a year-on-year decrease of 22.07 percent.

Editor: Tom Litting