After nearly five years, the overseas debt restructuring of Fantasia Holdings Group Co Ltd (HKG: 01777) has officially taken effect. On the evening of July 30, Fantasia Holdings (HKG: 01777) announced that its overseas restructuring became effective on July 30, 2026. This marks the conclusion of the company's overseas debt overhaul, from its initial financial distress on October 4, 2021, to the formal implementation of the restructuring plan on July 30, 2026.

According to the announcement, on the effective date, Fantasia completed the issuance and distribution of various restructuring consideration interests, including the simultaneous issuance of short-term notes, long-term notes, consideration shares, and mandatory convertible bonds. Notably, 50% of the principal of the mandatory convertible bonds was converted into shares, resulting in a corresponding reduction in outstanding principal. The short-term and long-term notes were listed on the Singapore Exchange Securities Trading Limited, alongside newly issued ordinary shares of the company and converted shares used as restructuring consideration. Under specific authorization approved at the shareholders' meeting on May 15, 2026, multiple batches of restructuring-related new shares were issued and distributed, fully fulfilling all equity arrangements within the restructuring plan and adequately protecting the legal rights of all creditors who supported the restructuring.

A source within Fantasia stated that the entire restructuring package, after multiple rounds of creditor communications and judicial reviews in two jurisdictions, received approval from 99.67% of creditors by value. By replacing existing debt with diversified financial instruments, the company has fully relieved its historical overseas debt repayment pressure. The process involved offering multiple options to accommodate the demands of different institutional investors, using a unified distribution mechanism to reduce communication friction. Additionally, the entire process strictly adhered to the company laws of Hong Kong and the Cayman Islands, as well as the listing rules of the Hong Kong Stock Exchange, using a standardized judicial procedure to balance the interests of the company, creditors, and all shareholders, thereby preventing the uncontrolled spread of debt risk.

Quantitatively, based on the company's financial data as of December 31, 2025, the full implementation of this overseas debt restructuring results in the complete discharge of approximately 44.286 billion yuan in existing debt (including the full principal and interest of all outstanding overseas notes, various additional debt instruments, and shareholder loans). The restructuring simultaneously replaces this with new debt instruments with a book value of approximately 10.426 billion yuan, covering short-term notes, long-term notes, and new shareholder loans, leading to a significant reduction in the overall debt scale. This debt restructuring directly increases the company's net assets by approximately 33.860 billion yuan, turning Fantasia's net asset position from negative to positive.

The Fantasia insider added that the company's key focus for the next phase involves four main areas. First, accelerating the process to enable secondary market trading of the notes and shares. Second, steadily advancing the preparation and disclosure work related to the share consolidation scheduled for August 2026, while completing the corresponding adjustment of the conversion price. Third, continuing to provide notification services for unconfirmed creditors to protect their asset rights. Fourth, regularly disclosing subsequent updates on share capital changes following the restructuring and strictly fulfilling information disclosure obligations under the listing rules.