(Yicai Global) June 8 -- Shinsun Holdings Group announced that the Chinese homebuilder has failed to repay debt worth USD200 million.

Shinsun was unable to return the principal and interest on senior notes due yesterday, the Shanghai-based company said in an exchange filing the same day.

The developer also had announced in March that it was unable to pay USD12 million of interest on USD200 million of senior notes due in 2023, which became payable on Feb. 18.

To generate cash, Shinsun sold stakes in two units in the past three months, raising about CNY365 million (USD54.8 million). Its contracted sales were nearly CNY2.2 billion (USD330.1 million) last month, bringing this year’s total to about CNY13.4 billion (USD2 billion).

“Affected by various unfavorable factors such as macro economy, real estate market environment and financial environment, and multiple rounds of epidemics, the group’s liquidity has experienced periodic problems,” it said in an exchange filing in March.

“The company will also proactively engage in the dialogue with the bondholders with a view to finding and implementing various ways to address the current liquidity issue,” it added.

Despite yesterday’s default, Shinsun’s shares [HKG: 2599] closed 1.9 percent higher today at 54 Hong Kong cents (7 US cents) apiece, after earlier jumping by as much as 5.7 percent. The stock has tumbled more than 90 percent in the past 12 months.

Editor: Futura Costaglione