The major shareholder of China's home decoration and furniture stores operator R S Macalline (1528) has pledged its shares.
It intends to transfer 335 million A shares, or 7.69 percent of the total equity of R S Macalline, from its securities account to a special account to make a supplementary pledge to a non-public issue of exchangeable corporate bonds in 2019.
Earlier this month, the global rating agency S&P downgraded R S Macalline's parent's long-term credit rating to B+ from BB. S&P believes that deteriorating leverage of the company is unlikely to recover in the next two years.
RS Macalline is a home improvement and furnishings shopping mall operator, as well as a home furnishings platform in China, listed in Hong Kong and Shanghai. The company is mainly engaged in business operation and management of Portfolio shopping malls, home decoration and internet retail.
