/PRNewswire-Asia-FirstCall/ -- China Housing & Land Development, Inc., ("China Housing" or the "Company," Nasdaq: CHLN) today announced that the Company has reached agreements with major investors to retire approximately
of non convertible portion of the
5% Senior Secured Convertible Notes, which were issued to the investors in
. The investors also agreed to exercise all their outstanding warrants associated with the 5% Senior Secured Convertible Notes.
Upon the completion of the transaction, China Housing will retire up to
Non Convertible Notes through the issuance of approximately 1.73 million common shares at
per share. The share price of China Housing was
per share on
June 11, 2010
In connection with the 5% Senior Secured Convertible financing dated
January 28, 2008
, investors were granted 1,437,467 five-year warrants with a strike price of
per share. In accordance with the agreement, the investors will exercise all of their remaining 1.2 million outstanding warrants, with every two warrants to be converted to one common share.
, Chairman of China Housing said, "We are pleased that these longstanding investors continue to demonstrate significant support for the Company by offering to convert their loan into equity. The retirement of
notes strengthens our balance sheet by reducing our outstanding debt and interest payments. The issuance price is set at
, which based on our current share price, represents notable investor confidence in our future performance. Further, the reduction of outstanding warrants will ease selling pressure and support our stock price. Enhancing our financial structure is a key objective for our business as we execute our business plan and build value for our shareholders."
About China Housing & Land Development, Inc.
, the capital city of
province, China Housing & Land Development, Inc., is a leading developer of residential and commercial properties in northwest
. China Housing has been engaged in land acquisition, development, and management, including the sales of residential and commercial real estate properties through its wholly-owned subsidiary in
, since 1992.
China Housing & Land Development is the first and only Chinese real estate development company traded on NASDAQ. The Company's news releases, project information, photographs, and more are available on the internet at
Safe Harbor Statement
This news release may contain forward-looking information about China Housing & Land Development, Inc. which is covered under the safe harbor for forward-looking statements provided by the Private Securities Litigation Reform Act of 1995. Forward-looking statements are statements that are not historical facts. These statements can be identified by the use of forward-looking terminology such as believe, expect, may, will, should, project, plan, seek, intend, or anticipate or the negative thereof or comparable terminology, and include discussions of strategy, and statements about industry trends and China Housing & Land Development's future performance, operations, and products.