Asia Roundup

As China’s Hidden Local Debts Shrink, a New Challenge Emerges

The more difficult task of tackling the murkier and more sprawling operational debt held by thousands of local government financing vehicles (LGFVs) is running into complications, partly in the form of high-interest, non-compliant debt that banks are reluctant to touch, Caixin reported.

This stalemate is contributing to a growing liquidity strain for LGFVs, which can roll over their principal but are increasingly struggling to pay the interest, raising concerns about a build-up of default risks.

• 💼 Brief Take: China’s Debt Fabric

• 📚 Acrostics Anatomy: China’s Double Helix

• 👣 Asia’s Restructuring Milestones: China’s Bankruptcy Law

Blackstone Raises its Largest Asia Private Equity Fund at $13.1 Billion

Blackstone announced the final close of Blackstone Capital Partners Asia III at $13.1 billion, exceeding its $10 billion target and marking the firm’s largest private equity fundraise in the region. The close represents more than double the amount of capital raised for its predecessor vehicle, according to its press release.

India’s SP Group to Complete Dual Tranche Debt Sale by Mid-June, Sources Say

India’s Goswami Infratech, a Shapoorji ‌Pallonji (SP) Group unit, is set to complete its large fundraising plan by mid-June, ahead of a month-end deadline to refinance nearly $2.5 billion in debt, Reuters reported, citing two sources familiar with the matter.

Goswami Infratech has now secured commitments from at least five foreign and domestic investors to ​subscribe to a planned rupee-bond issue, while the group fully ​secured commitments from investors for its dollar tranche.

The company will raise around INR 143 billion ($1.51 billion) through a three-year zero-coupon rupee bond issue, arranged ‌by ⁠Deutsche Bank. It will likely pay a yield of 18.95%, with investors mostly consisting of existing ones rolling over their investments.

• 💼 Brief Take: SP Group’s Tata Timer

• 💼 Brief Take: SP Group’s Chess Piece

• 💼 Brief Take: Keeping the SP Dream Alive

Indonesia Roundup

Indonesian Business Groups Call for Clarity About New Commodity Export Rules

Business groups in Indonesia called on the government to issue technical guidance for its plan to centralise exports and retain export proceeds in state banks, Reuters reported, citing their joint statement.

The Indonesian Employers Association, together with associations of miners, coal miners, nickel smelters and palm oil producers, said they supported the new rules, but hoped the government would work with the private sector on their implementation.

• 🛜 Indonesia Radar #1

• 🛜 Indonesia Radar #2

Singapore High Court Dismisses Indonesian Fugitive Paulus Tannos’ Bid to Challenge Extradition Process

Singapore’s High Court has dismissed an application by Indonesian businessman Paulus Tannos to challenge a decision that set in motion proceedings seeking his extradition to Indonesia over his alleged role in a major corruption case, CNA reported.

In a judgment issued on 29 May, Justice Aidan Xu ruled that Tannos, 71, had failed to establish a sufficient basis to allow a judicial review of a decision by Singapore’s Law Minister to proceed with Indonesia’s extradition request.

Tannos, a Singapore permanent resident, is wanted by Indonesia’s Corruption Eradication Commission (KPK) for his alleged role in a corruption scheme linked to the country’s electronic identity card project, or e-KTP project.

• 📒 Quick Take: Indonesia’s Year of Living Dangerously

• 📒 Quick Take: Indonesia’s “New Order” Resurgence

Acrostics Asia is an independent credit intelligence provider that delivers forward-looking insights across Asian sovereigns, private credit and restructurings.

Based on feedback from friends in the market, I developed the Radar to address four common pain points:

1. Investors, lenders and restructuring practitioners need an early warning system so they can prepare in advance. As a financial advisor put it, by the time the news hits the headlines it’s already too late to act.

2. Most readers are busy professionals who don’t have time to go through a thousand-word essay. They want a concise overview of what’s going on before they meet clients or discuss potential deals with their teams – and then they can go deeper selectively.

3. Real-life situations are not siloed into purely financial, legal or political domains, while capital doesn’t just flow into a single asset class.

4. In emerging markets, relationships are as important as – or even more crucial than – numbers. When constructing scenarios or positioning themselves, readers need to know who the players in the game are.

Acrostics Asia Radars:

• Connect the dots and help readers to anticipate what lies ahead.

• Compress information into a one-page brief that can save time for readers.

• Map the ecosystem by combining the companies and people to watch.

🛜 Singapore Radar #1 (26 May 2026)

Whether or not business is good in Singapore really depends on which sector you’re in. If you’re in private banking, family offices or wealth management, there’s no better place to be than in the city-state, as a lawyer put it.

In the restructuring and insolvency space, there are a couple of interesting cases, such as the restructuring of a Singapore-incorporated alcohol distributor and the application to wind up a fintech company.

Some liquidations are ongoing, but they tend to be smaller tickets in the F&B sector that are nowhere near the scale of Singapore oil trader Hin Leong’s collapse six years ago.

Companies to Watch

• Keppel’s subsidiary launched arbitration proceedings at the Singapore International Arbitration Centre against its joint venture partners in Vietnam.

• Singapore car portal UCars was reportedly wound up more than a year after it was revealed to be SGD 4 million (USD 3.1 million) in debt. The appointed liquidator is Seah Chee Wei of Rock Stevenson.

People to Watch

• Quantuma’s Asia Office Buyout

• Jacqueline Chan Named R&I Lawyer of the Year at Legal 500 Southeast Asia Awards

📚 Acrostics Anatomy: Kebangkrutan Sritex (29 May 2026)

One of my mentors who’s a veteran Indonesian banker advised me to translate my articles into Bahasa as they should be useful for the local audience. I’m selectively translating Acrostics Asia’s coverage, starting with the bankruptcy of Indonesian textile giant Sri Rejeki Isman (Sritex).

This Anatomy brings together the financial, legal and political insights that can help readers to understand the final chapter of Sritex’s 59-year journey. It also extracts concise lessons for investors, banks and borrowers, drawing from conversations with people who are familiar with Sritex’s restructuring.

IBC@10: Discipline of Letting Go by M.S. Sahoo and Raghav Pandey (28 May 2026)

M.S. Sahoo, Former Chairperson of Insolvency and Bankruptcy Board of India, shared his article on India’s 2016 Insolvency and Bankruptcy Code (IBC) that was jointly authored with Raghav Pandey.

“The real test of an insolvency regime is not how many firms it saves, but how quickly and accurately it determines when a rescue is viable and when an exit is better,” Sahoo and Pandey wrote in a piece that was published on Mint.

“The Code contains that logic. What remains elusive is an institutional willingness to let go: of claims, control, rights, expectations and, when necessary, the firm itself, when doing so is the only way to preserve value.”

Acrostics Asia is an independent credit intelligence provider that connects the dots across Asian sovereigns, private credit and restructurings.

China Targets Offshore Billions in Biggest Crackdown in Decades

Chinese authorities have threatened three popular brokers with at least $330 million of penalties, vowed stricter controls for banks and quietly ramped up pressure on the country’s richest people and the vehicles they use to hold overseas assets, Bloomberg reported.

The shift has ramifications for everything from Hong Kong’s stock market – buttressed by demand from mainland China – to the hordes of law firms, financial advisers and investment funds that help Chinese citizens manage their money overseas.

Sembcorp Expands Vietnam Singapore Industrial Parks Network with Four New Projects in Vietnam

Sembcorp Development, through its Vietnam Singapore Industrial Park (VSIP) joint venture with Becamex IDC, has received investment approvals to develop four new VSIPs, according to the Singapore company’s statement.

The approvals were granted during the state visit of To Lam, General Secretary of the Communist Party and President of Vietnam, to Singapore, and were witnessed alongside Lawrence Wong, Prime Minister and Minister for Finance of Singapore.

• 📒 Quick Take: Vietnam’s Green Shoots

• 💼 Brief Take: Vietnam’s Risk Zone

Software Sector Faces AI Speed Bump as Debt Matures, Says CI GAM

Software companies and their private equity investors will face mounting strains as debt redemptions swell in coming years, Bloomberg reported, citing Canadian investment manager CI Global Asset Management.

“It’s going to pressure the PE returns because enterprise valuations are going to be lower,” said Geof Marshall, who leads the firm’s fixed income team and private markets group, at a media roundtable in Sydney. “The big speed bump is AI.”

Around $386 billion of syndicated software loans will mature in 2028 and 2029 combined, compared with about $80 billion this year, according to estimates by S&P Global Market Intelligence.

• 💼 Brief Take: Asia Private Credit’s Growing Pains

• 📒 Quick Take: Asian Credit’s Shifting Currents

• 📒 Quick Take: Asia Private Credit’s Reality Check

• 📒 Quick Take: Asia’s Mushrooming Private Credit

Indonesia Roundup

Indonesia’s Surprisingly Good GDP Has Analysts Doubting the Data

Economists are increasingly doubting Indonesia’s robust growth narrative under President Prabowo Subianto, with the skepticism spilling over into a rare public debate over the reliability of the country’s economic data, Bloomberg reported.

At a forum over the weekend in Jakarta, some of the country’s best-known economists openly questioned the credibility of the most recent data, which showed an unexpected 5.6% jump in gross domestic product, and warned it overstates the health of the economy.

The event, hosted by Alliance of Indonesian Economists, was highly unusual in Indonesia, where economists rarely hold public press briefings to dispute data.

Early last year, Acrostics Asia connected the savings rate, layoff numbers, mortgage defaults and banking ratios to infer that Indonesia’s economy was likely weaker than what the official data showed.

• Independent Asia Credit Intelligence: Indonesian Sovereign

• 👟 Walk the Talk: Indonesia’s Economic Fissures

• 📚 Acrostics Anatomy: Indonesia’s Economic Cracks

• 📚 Acrostics Anatomy: Indonesia’s Policy Disconnect

EY-Parthenon Advises Bank SMBC Indonesia on $1.1 Billion Loan Divestment to BTN

EY-Parthenon was the exclusive financial advisor to Bank SMBC Indonesia on its $1.1 billion pension loan divestment to Bank Tabungan Negara (BTN), according to the advisor’s LinkedIn post.

For BTN, the acquisition will enable the bank to expand its retail business portfolio, on top of its mortgage business.

Acrostics Asia is an independent credit intelligence provider that delivers forward-looking insights across Asian sovereigns, private credit and restructurings.

Asia Roundup

Guangzhou State Firm to Buy Secondhand Homes to Support Property Market

Guangzhou has unveiled a plan for a state-owned housing company to buy secondhand homes directly from individual owners, extending government support for China’s struggling property market into the resale segment, Caixin reported.

The program marks a shift from earlier measures adopted in many Chinese cities, where state-owned companies primarily purchased unsold new homes from developers. Guangzhou’s initiative will test whether public capital can help revive transactions in aging urban housing stock.

• 💼 Brief Take: China’s Debt Fabric

• 📚 Acrostics Anatomy: China’s Double Helix

• 💼 Brief Take: Two Sides of Hong Kong’s Property Coin

• 👣 Asia’s Restructuring Milestones: China’s Bankruptcy Law

IMF Approves $695 Million Program Funding for Sri Lanka

The International ​Monetary Fund said on Wednesday that it approved ‌about $695 million in funding to Sri Lanka under a $2.9 billion program, Reuters reported.

The funds will increase Sri Lanka’s foreign currency reserves, ​which dipped 3.8% to $6.7 billion at the ​end of April from the prior month as ⁠the island nation grapples with soaring energy prices ​as a result of the US-Israel war ​on Iran.

• ☀️ Bright Spot #16: Sri Lanka’s Recovery

• 👟 Walk the Talk: SriLankan Airlines

• 📚 Acrostics Anatomy: SriLankan Airlines’ Bond Truce

Mongolia’s Bogd Bank Issues $75 Million Bond

Mongolia’s Bogd Bank has issued a $75 million bond with a three-year tenor and a fixed annual coupon rate of 9.50%, according to its LinkedIn post. The bond was listed on the Vienna Stock Exchange in Austria.

The bond proceeds will be used to support Bogd Bank’s core business expansion, particularly increasing financing to small and medium-sized enterprises (SMEs), as well as supporting the growing needs of the export, trade, manufacturing and private sectors, according to the bank.

• ☀️ Bright Spot #19: Asia Bond Wave

• ☀️ Bright Spot #18: Asia’s Frontier Bonds

• 📒 Quick Take: Asian Credit’s Shifting Currents

Singapore Hands Byju’s Founder His First Ever Jail Term

The founder of failed Indian technology firm Byju’s was sentenced to six months in jail by a Singapore court for contempt, Bloomberg reported, citing people familiar with the matter.

Byju Raveendran was ordered to serve jail time after the court said he had disobeyed multiple orders related to his assets dating back to April 2024. It’s the first time a judge has threatened to imprison the once high-flying entrepreneur, who founded one of India’s highest-profile tech startups before a post-Covid slump pummeled the business.

Indonesia Roundup

War Stress Pushes Indonesia, Thailand to Lean on Short-Term Debt

Southeast Asia’s two biggest economies are selling more short-term debt to cope with the stress from the US-Iran war, draining liquidity from broader markets, Bloomberg reported.

Indonesia’s central bank has stepped up issuance of rupiah bills to attract foreign inflows to support the rupiah, which has hit record lows and become Asia’s worst-performing currency this quarter. In Thailand, the government is leaning more on short-term notes as it pushes ahead with a controversial emergency borrowing plan.

• 🛜 Indonesia Radar #1

• 👟 Walk the Talk: Indonesian Outflows

Wilmar Shares Tumble 10.5% in Early Trade Amid Indonesia Probe

Shares of Wilmar International fell as much as 10.5% in early trading, The Business Times reported. The company is among 10 crude palm oil (CPO) exporters under investigation for suspected under-invoicing and transfer-pricing practices.

Indonesia’s Finance Minister Purbaya Yudhi Sadewa said that the companies shipped or sold CPO to trading firms in Singapore, which then resold the cargo to the US after price mark-ups of as much as 50%, raising concerns that a portion of export value may have been moved offshore.

• ⏳🎞️ Wilmar’s Indonesian Troubles

• 📒 Quick Take: Indonesia’s Year of Living Dangerously

• 📒 Quick Take: Indonesia’s “New Order” Resurgence

Acrostics Asia is an independent credit intelligence provider that delivers forward-looking insights across Asian sovereigns, private credit and restructurings.

Sri Lanka Surprises With Big Rate Hike as Emerging Markets Defend Currencies

Sri Lanka is the latest emerging market to tighten monetary policy aggressively as an oil crisis triggered by the Iran war pushes currencies to record lows and threatens economic stability, Bloomberg reported.

The Central Bank of Sri Lanka raised its overnight policy rate by a full percentage point – its first monetary tightening in three years – to 8.75% on Tuesday. Bank Indonesia also unexpectedly delivered a half-point increase to its key rate last week.

Tata Sons Board Meeting Concludes After Five Hours, No Decision Announced

The Tata Sons board met at Bombay House, the Tata Group’s headquarters in Mumbai, on Tuesday for over five hours, Outlook Business reported. No formal decision was announced at the conclusion of the much-anticipated meeting.

The meeting was called to review the long-term direction of key group companies and discuss turnaround and consolidation strategies for several unlisted and loss-making businesses. The board was expected to seek greater clarity on reducing losses, improving returns and outlining a roadmap to profitability for these units.

• 💼 Brief Take: SP Group’s Tata Timer

• 💼 Brief Take: SP Group’s Chess Piece

• 💼 Brief Take: Keeping the SP Dream Alive

VinFast Names Founder’s Son Chairman Amid Losses, US Setbacks

VinFast Auto appointed the son of billionaire founder Pham Nhat Vuong as chairman while the Vietnamese electric vehicle maker faces mounting losses and setbacks in the US, Bloomberg reported.

Its board of directors named Pham Nhat Quan Anh to replace Le Thi Thu Thuy, who will continue as vice chairwoman at parent company Vingroup to focus on the larger group’s business, according to a company statement.

Indonesia Roundup

Indonesia Probes Musim Mas, Wilmar for ‘Under-Invoicing’ of Exports

Indonesia's finance minister said that Wilmar International and Musim Mas Group are among ​the palm oil companies now being probed for suspected “under-invoicing” ‌of exports, Reuters reported.

Under-invoicing involves the invoicing of goods below their ​market price, often to hide profits and avoid ​taxes.

• ⏳🎞️ Wilmar’s Indonesian Troubles

• 🛜 Indonesia Radar #1

• 📒 Quick Take: Indonesian State Capitalism

Danareksa Spins Off Industrial Zone Business

Indonesian sovereign fund Danantara has decided to spin off state-owned company Danareksa’s industrial zone business, IDN Times reported.

A new state-owned holding company called Kawasan Industri Indonesia has been formed to oversee the industrial zones.

• 👟 Walk the Talk: Danantara’s War Chest

• 📚 Acrostics Anatomy: Indonesian SOE State of Play

• 📒 Quick Take: Indonesia’s SOE Supremo

Acrostics Asia is an independent credit intelligence provider that delivers forward-looking insights across Asian sovereigns, private credit and restructurings.

Singapore Seeks to Cut Account Opening Time for the Rich to a Month

Singapore’s financial regulator is working with private banks to shorten account opening time using a “risk-appropriate” approach, as the city-state rises in importance as a wealth management hub, Bloomberg reported.

The Monetary Authority of Singapore wants to cut the duration to within one month, from a current median of about six weeks or longer in complex cases, Managing Director Chia Der Jiun said at the UBS Asian Investment Conference in Singapore.

The move is to ensure banks avoid unnecessary and excessive checks on clients’ sources of wealth while also upholding high standards.

• ☀️ Bright Spot #15: Singapore’s “Exceptional” Growth

Vedanta Resources Looks to Rejig $5.5 Billion Holdco Debt in One Go

Vedanta Resources Ltd (VRL) has initiated talks with global banks on refinancing the holding company’s debt of $5.25-5.5 billion through a mix of bonds and loans, The Economic Times reported, citing people aware of the matter. The Indian group is seeking to better align repayments with dividend inflows from operating companies.

VRL is looking to raise $3.5-3.7 billion through 10-year bonds and another $1.5-1.7 billion via loans with a five-year maturity, according to ET. In recent weeks, VRL’s management has held discussions with at least eight global lenders.

• 💼 Brief Take: India’s Battle-Hardened Billionaires

• 📚 Acrostics Anatomy: Vedanta’s Lucky Streak

SoftBank Taps Retail Market Again With $1.6 Billion Yen Bond

SoftBank Group plans to raise ¥260 billion ($1.6 billion) through another sale of subordinated bonds aimed mainly at individual investors, about two months after a similar retail offering, Bloomberg reported.

The bonds mature in 35 years with an issuer call option after five years, according to documents disclosed by the company. The pricing is scheduled for 5 June, with the initial five-year coupon guided at 4.8-5.6%.

SoftBank’s swift return to the retail bond market comes amid its growing funding needs for artificial intelligence-related investments. The company downsized plans for a $10 billion margin loan backed by its OpenAI stake.

• ☀️ Bright Spot #19: Asia Bond Wave

• 📒 Quick Take: Asian Credit’s Shifting Currents

• 📒 Quick Take: Asia’s Bond Tide

Indonesia Roundup

Indonesia’s New Trade Regime and Rate Hike Deliver Double Blow to Markets

Indonesia’s decision to centralize exports of key natural resource commodities under a new state-controlled entity, combined with Bank Indonesia’s surprise 50-basis-point benchmark interest-rate increase, is being viewed by business groups as a double blow to investors, companies and consumers, Jakarta Globe reported.

“Single-gate exports for natural resources are a highly counterproductive policy and could trigger negative sentiment among investors and markets, especially when public trust in the government is already declining,” said Jahja Soenarjo, chairman and chief executive of Business Forum Indonesia.

Jahja said he understood the government’s intention to secure export earnings, but warned that the policy should not come at the expense of businesses and private-sector confidence.

Acrostics Asia wrote on 23 May 2026:

🛜 Indonesia Radar #1

The president’s attempt to rein in transfer pricing – which has long been a form of capital leakage out of Indonesia – and keep dollars onshore is not illogical. But as with many of his earlier initiatives, the ambition and time horizon are misaligned with the practical reality, according to a Jakarta-based financier.

• 📒 Quick Take: Indonesian State Capitalism

• 📒 Quick Take: Indonesia’s Kerfuffle

• 👟 Walk the Talk: Indonesian Outflows

Indonesia to Revise State Budget Law But Deficit Ceiling Not the Focus

Indonesia’s parliament will soon start deliberating on a revision to state finance laws, but the focus will not be on changing rules on fiscal ​deficit limits, Reuters reported, citing a senior lawmaker.

Mukhamad Misbakhun, head of the parliamentary financial ​commission, said lawmakers would soon begin to draft a bill that will revise several existing financial laws at once – known as an omnibus bill – to align those with the establishment of ​new sovereign wealth fund Danantara.

The main point of the revision would be to ‌shift ⁠the appointed stakeholder of state investments in these laws from the finance minister to Danantara. That would include giving the dividends of state companies to Danantara and removing those as a source ​of income for the ​state budget.

• 📒 Quick Take: Indonesia’s Rating Leak

• 📒 Quick Take: Jakarta’s Third Rail

• 👟 Walk the Talk: Danantara’s War Chest

• 📚 Acrostics Anatomy: Indonesian SOE State of Play

Acrostics Asia is an independent credit intelligence provider that delivers forward-looking insights across Asian sovereigns, private credit and restructurings.

Dear Valued Contacts,

I love getting feedback on how to make Acrostics Asia better – and I try to act on it sooner rather than later!

Based on the feedback from some friends in Jakarta last week, I’ve developed Indonesia Radar, a concise brief on what to watch in Indonesia. Stay tuned as the Radar will rotate across different countries over the coming weeks.

🛜 Indonesia Radar #1 (23 May 2026)

Jakarta’s financial circle was stumped by President Prabowo Subianto’s move to centralize exports of key commodities under Danantara. The former general’s attempt to rein in transfer pricing – which has long been a form of capital leakage out of Indonesia – and keep dollars onshore is not illogical. But as with many of his earlier initiatives, the ambition and time horizon are misaligned with the practical reality, according to a Jakarta-based financier.

Companies to Watch

• Garuda Indonesia: The flag carrier has been exploring options as it’s pummelled by the spike in fuel costs. A key area of consideration is the negative optics associated with pursuing a fourth restructuring so soon after Danantara injected USD 1.4 billion into the airline. However, the clock is ticking as its liquidity is shrinking rapidly.

• Whoosh: The China-backed Jakarta-Bandung high-speed rail is another state project with ballooning costs and uncertain recovery. It’s possible for Indonesia to offer the Jakarta-Surabaya rail line to China in return for some form of forbearance on Whoosh, though whether or not it can make money is still a question mark.

• Modernland Realty: Even after its second restructuring, the Indonesian property developer is reliant on asset sales to jump over a maturity wall in 2027. While the sale is ongoing, Modernland has to service an expensive bridge loan from Bank JTrust Indonesia and ADM Capital’s Eight Rubies.

• Indika Energy: The energy company continues diversifying away from coal by setting up an electricity distribution unit. It also issued USD 100 million 8.75% notes due 2029 to fund the development of its gold mining project in South Sulawesi.

People to Watch

There’s a merry-go-round going on in Indonesia’s restructuring and insolvency scene, as some firms that were hit by departures have to poach from other firms to replenish their ranks.

💼 Brief Take: SP Group’s Tata Timer (20 May 2026)

I previously wrote that Shapoorji Pallonji Group (SP Group)’s refinancing machinery involves lining up investors who are willing to extend the bridge towards a potential liquidity event. Prospective lenders are not leaving everything to chance, as they have set the clock ticking for the Indian conglomerate to extract some cash from its stake in Tata Sons.

💼 Brief Take: Adani’s Refinancing Return (20 May 2026)

Another Indian conglomerate, Adani Group, is jumping back into the refinancing pool as it’s reportedly preparing to refinance nearly USD 5.25 billion of debt obligations. Adani’s US settlement may help to reduce perceived compliance risks and expand the base of potential lenders, though some banks may choose to wait and see first before making a commitment.

DHC Capital’s Takeaways on Australia Private Credit (20 May 2026)

DHC Capital’s David Chew shared some takeaways from a panel discussion on private credit at the 2026 ARITA NSW Young Professionals Conference held in Sydney on 30 April 2026.

Acrostics Asia is an independent credit intelligence provider that connects the dots across Asian sovereigns, private credit and restructurings.

Global Buyout Funds to Exit China’s Data Centres with Final $1 Billion Deal

Foreign private equity firms are cashing out of China’s data centre sector after years of betting billions on the country’s cloud computing boom, as political and regulatory pressures make overseas ownership of digital infrastructure increasingly difficult, The Financial Times reported.

Princeton Digital Group, which is backed by Warburg Pincus, is launching a sale of its China assets that could fetch as much as $1 billion, adding to a string of exits by global funds including Bain Capital and Carlyle.

• ☀️ Bright Spot #19: Mega Deals

Capital Group Builds $2 Billion Adani Bet in Pivot From Reliance

Capital Group, one of the world’s largest investment management firms, has been increasing its exposure to Adani Group companies while steadily paring holdings in Reliance Industries, marking a shift in foreign investor preference between India’s biggest conglomerates, Bloomberg reported.

The Los Angeles-based money manager has acquired stakes worth more than $2 billion across three Adani Group companies in recent weeks.

Adani companies are increasingly viewed as rare leveraged plays on India’s infrastructure development, energy transition and manufacturing push. That shift is also emblematic of a broader transition toward bets on the next phase of India’s economic expansion.

• 💼 Brief Take: Adani’s Refinancing Return

• 💼 Brief Take: Adani’s US Break

• 💼 Brief Take: India’s Battle-Hardened Billionaires

Simba’s Parent Company Terminates Deal to Acquire Singapore’s M1

Simba’s owner, Australia’s Tuas, announced that the deal to acquire Singapore telco M1 has been terminated, CNA reported.

In a statement posted on the Australian Securities Exchange, Tuas said that it and Keppel – M1’s parent company – would be released and discharged from their respective obligations if certain conditions under the terms of the sales and purchase agreement were not fulfilled or waived before the long stop date.

Tuas also said that Simba continues to cooperate with the Infocomm Media Development Authority’s investigation into whether it had been using radio frequency bands that were not assigned to it to provide mobile services.

Indonesia Roundup

Indonesia to ‘Listen to Market’ on New Commodity Export Body

Indonesia is “listening very closely to the market” as it builds a body to oversee key commodity exports, Bloomberg reported, citing Pandu Sjahrir, chief investment officer of sovereign wealth fund Danantara.

Asked about perplexity in the market, Sjahrir said investors were trying to absorb the news. Details would be provided over “the next few weeks”, he added, though the policy would focus initially on coal and crude palm oil, two commodities in which Indonesia is a major player.

• 📒 Quick Take: Indonesian State Capitalism

• 📒 Quick Take: Indonesia’s Year of Living Dangerously

Indika Energy Sets Up New Electricity Distribution Unit

Indonesia’s Indika Energy has set up a new electricity distribution subsidiary, Electra Jaringan Indonesia (EJI), according to its stock exchange filing.

EJI’s business activities will include the distribution or distribution services for medium to low-voltage electricity, and retail sale of electricity to end consumers.

In a separate filing, Indika said it had completed the issuance of USD 100 million 8.75% notes due 2029. The company will use the bond proceeds to fund capital expenditures related to the development of its gold mining project in South Sulawesi.

• ☀️ Bright Spot #19: Asia Bond Wave

• 📒 Quick Take: Asian Credit’s Shifting Currents

• 📒 Quick Take: Asia’s Bond Tide

Acrostics Asia is an independent credit intelligence provider that delivers forward-looking insights across Asian sovereigns, private credit and restructurings.

Vietnamese EV Maker VinFast’s Move to Shift $7 billion in Debt Raises Red Flags

Over the last decade, Vietnamese electric vehicle maker VinFast Auto has burned through billions of dollars on an aggressive expansion. Now, a plan to sell its two main factories and shift $7 billion worth of debt off its books has sparked concerns about governance at Pham Nhat Vuong’s Vingroup, Reuters reported.

Under a multi-party deal unveiled last week, VinFast will sell its Vietnamese manufacturing business for VND 13.3 trillion ($506 million) to a group of investors who ​will also assume roughly $6.9 billion in debt. The company said this will allow it to adopt an “asset-light” model focused on research and product development rather than manufacturing.

• 💼 Brief Take: Vietnam’s Risk Zone

Manus Weighs Raising $1 Billion to Unwind Meta Takeover

The co-founders of Manus are exploring options to fulfill Beijing’s demand to unwind a controversial takeover by Meta Platforms, including raising about $1 billion from external investors to buy back the Chinese-founded AI operation, Bloomberg reported, citing people familiar with the matter.

Manus’s three founders are in discussions about a round of funding at a valuation that would at least match the $2 billion Meta paid to acquire the agentic AI outfit. The founders may chip in with their own money to finance the rest of the transaction.

• ☀️ Bright Spot #19: Mega Deals

Varde Partners Aims to Raise $1 Billion Asia Private Credit Fund

Varde Partners is looking to launch a $1 billion private debt fund focused on Asia, Bloomberg reported, citing people familiar with the matter.

The vehicle aims to deploy capital across Asia, with a focus on India, Australia, and Southeast Asia. This would be Varde’s first Asian fund focused solely on private credit.

• 💼 Brief Take: Asia Private Credit’s Growing Pains

• 📒 Quick Take: Asian Credit’s Shifting Currents

• 📒 Quick Take: Asia Private Credit’s Reality Check

• 📒 Quick Take: Asia’s Mushrooming Private Credit

Indonesia Roundup

Prabowo’s Export Control Plan Sparks Market Selloff

The Jakarta Composite Index (JCI) plunged 3.5% on Thursday as investors dumped commodity-linked shares after President Prabowo Subianto moved to tighten state control over strategic natural resource exports, Jakarta Globe reported.

Trading volume reached more than 35.2 billion shares with turnover totaling IDR 17.9 trillion ($1 billion), while trading frequency exceeded 2.1 million transactions. Losers heavily outpaced gainers, with 663 stocks declining against 88 advancing and 69 unchanged.

• 📒 Quick Take: Indonesian State Capitalism

• 📒 Quick Take: Indonesia’s Year of Living Dangerously

Danantara Picks Luke Thomas Mahony as DSI President Director

Danantara Indonesia CEO Rosan Roeslani said Luke Thomas Mahony has been appointed as the President Director of Danantara Sumber Daya Indonesia (DSI), a new government entity tasked with managing the export of a range of commodities, Tempo reported.

“For now, it’s Luke Thomas,” the Danantara CEO reportedly said. Mahony is an Australian citizen who previously served as a director at Vale Indonesia, according to Tempo.

• 👟 Walk the Talk: Danantara’s War Chest

• 📚 Acrostics Anatomy: Danantara’s Genesis

• 📚 Acrostics Anatomy: Danantara’s Bridge to Bonds

• 📚 Acrostics Anatomy: Indonesian SOE State of Play

Acrostics Asia is an independent credit intelligence provider that delivers forward-looking insights across Asian sovereigns, private credit and restructurings.

China Steps Up Oversight of Bond Rating Terminations

Chinese regulators are increasing scrutiny of companies seeking to terminate bond credit ratings amid concerns some issuers may be using the practice to avoid downgrades, Caixin reported.

Some rating agencies were recently instructed to report issuer-requested rating terminations to regulators within three working days. Agencies must explain the reasons for the termination and provide details on the issuer’s operations, financial condition and credit outlook.

• 💼 Brief Take: China’s Debt Fabric

• 📚 Acrostics Anatomy: China’s Double Helix

SoftBank Founder’s Starstruck Bet on OpenAI Raises Concern

Some SoftBank officials are anxious over its ballooning commitment to OpenAI, now totaling more than $60 billion, and what they see as their leader’s starstruck devotion to Sam Altman, Bloomberg reported.

A key concern mentioned by these people is that Son is focusing too much of SoftBank’s capital on a single company, especially one that’s lately faced business, reputational and legal problems. SoftBank has sold off assets including its stake in AI chipmaker Nvidia and hasn’t been investing in rival AI models.

Creditors to Submit Claims for Singapore’s Dromond Shipping, Related Firms

The liquidators of Singapore’s Dromond Shipping and related companies issued a notice to their creditors to submit claims on or before 15 June, The Manifold Times reported.

The other companies are Tidewater Emergency Response Services, Tidewater Production Solutions and Tidewater Salvage.

• 📚 Acrostics Anatomy: Singapore’s Restructuring Strides

• 📚 Acrostics Anatomy: Singapore Squeeze

Indonesia Roundup

Indonesia unveils plan to centralise control of commodity exports

Indonesia unveiled a sweeping plan to centralise exports of key commodities ‌such as palm oil and coal, aiming to boost government revenue through tighter control of the sale and pricing of its abundant natural resources, Reuters reported.

Sovereign wealth fund Danantara will oversee a trading company designated to channel exports, starting with palm oil, coal and ferroalloys after a three-month transition. The government may add more commodities at three-month intervals.

• 📒 Quick Take: Indonesian State Capitalism

• 📒 Quick Take: Indonesia’s Kerfuffle

• 📒 Quick Take: Indonesia’s Year of Living Dangerously

Bank Indonesia Surprises With a Half-Point Hike to Defend Rupiah

Indonesia’s central bank delivered a larger-than-expected interest-rate increase to intensify its defense of the rupiah after the currency tumbled to successive record lows this month, Bloomberg reported.

Bank Indonesia raised the rate by 50 basis points to 5.25% on Wednesday, the first such move since 2022. The move was anticipated by only one economist in a Bloomberg News survey. Twenty-five analysts had expected a quarter-point hike, while 15 predicted a pause.

• 👟 Walk the Talk: Indonesian Outflows

• 📒 Quick Take: Indonesia’s Rating Leak

• 📒 Quick Take: Jakarta’s Third Rail

Acrostics Asia is an independent credit intelligence provider that delivers forward-looking insights across Asian sovereigns, private credit and restructurings.

Global Bond Selloff Threatens Turmoil in Weakest Asian Economies

Three of Asia’s most vulnerable economies are showing rising strains as their central banks come under pressure to tighten policy even as the economic hit from the Iran-war oil shock deepens, Bloomberg reported.

Indonesia, the Philippines and India are already grappling with capital outflows and free-falling currencies as Middle East tensions hurt consumers and companies alike. Now, global bond ructions are piling on further pressure.

Higher US bond yields drive up the dollar and reduce the appeal of emerging-market assets, fueling capital outflows from Asia. That raises the burden of servicing dollar-denominated debt and pressures central banks to raise interest rates to defend their currencies and boost the appeal of local debt, even as domestic growth is set to weaken.

• 📒 Quick Take: Asian Sovereigns’ Tug of War

• 🎒 Indonesian Outflows

SP Group Fundraising Includes Milestones Linked to Tata Sons Monetization in 18 Months

Shapoorji Pallonji Group (SP Group)’s fundraising includes milestones linked to a possible listing of Tata Sons or a settlement agreement within 18 months, The Economic Times reported.

The Indian group owns a roughly 18% stake in Tata Sons and has called for the public listing of the holding company.

SP Group’s fundraising includes its first-ever USD tranche of $1 billion, which is expected to carry yields of around 14%.

Alongside the dollar tranche, the group is also raising rupee debt of around INR 150-160 billion ($1.6-1.7 billion), which is expected to price around 18.95% – revised upward from an earlier guidance of 18.75%, according to ET.

• 💼 Brief Take: SP Group’s Chess Piece

• 💼 Brief Take: Keeping the SP Dream Alive

• 💼 Brief Take: Asia Private Credit’s Growing Pains

• 💼 Brief Take: Shapoorji Pallonji Group’s Tightrope Walk

UzNIF’s IPO and Dual Listing in London and Tashkent

Cleary Gottlieb represented the National Investment Fund of the Republic of Uzbekistan (UzNIF), as issuer, and the Ministry of Economy and Finance of the Republic of Uzbekistan, as selling shareholder, on UzNIF’s IPO and dual listing of global depositary receipts (GDRs) on the London Stock Exchange and ordinary shares on the Tashkent Stock Exchange.

The offering raised $603.6 million (before any exercise of the over-allotment option), according to the law firm’s press release.

• ☀️ Bright Spot #18: Asia’s Frontier Bonds

• 📒 Quick Take: Asian Credit’s Shifting Currents

• 📒 Quick Take: Asia’s Bond Tide

Indonesia Roundup

Indonesia Plans to Tighten State Control Over Commodity Exports

Indonesia plans to tighten control over commodity exports including coal and palm oil, as the government seeks to clamp down on tax evasion and bolster a plunging rupiah, Bloomberg reported, citing people familiar with the matter.

The government is planning to create a new state entity to manage exports of the commodities in order to crack down on under-invoicing. The agency would be supervised by Danantara, the sovereign wealth fund that reports directly to President Prabowo Subianto, and could be announced by the president as soon as Wednesday.

• 📒 Quick Take: Indonesia’s “New Order” Resurgence

• 📒 Quick Take: Indonesia’s Strongman Part One

• 📒 Quick Take: Indonesia’s Strongman Part Two

• 📒 Quick Take: Indonesia’s Strongman Part Three

Indonesia Kicks Off Latest Foreign Bond Sale as Pressure Builds

Indonesia started marketing its latest dollar bond offering on Tuesday and flagged that a euro-denominated tranche may follow when London markets open, as the Iran conflict stokes concerns about the nation’s economic vulnerability.

Indonesia has already tapped investors in both markets this year, in addition to the yen and China’s local-currency, raising the equivalent of billions of dollars. The government is marketing five-year and 10-year bonds on Tuesday.

• 📒 Quick Take: Indonesian State Capitalism

• 📒 Quick Take: Indonesia’s Kerfuffle

• 📒 Quick Take: Indonesia’s Rating Leak

• 📒 Quick Take: Jakarta’s Third Rail

Acrostics Asia is an independent credit intelligence provider that delivers forward-looking insights across Asian sovereigns, private credit and restructurings.

Evergrande Liquidators Seek $8.4 Billion From PwC in Hong Kong Court

China Evergrande’s liquidators are seeking CNY 57 billion (USD 8.4 billion) in their lawsuit against PricewaterhouseCoopers International and its mainland China and Hong Kong affiliates, Bloomberg reported.

PwC International is looking to extricate itself from the case, which originally focused only on the affiliates, and strike out liquidators’ claims against it. Even if that effort succeeds, liquidators could still pursue the case against the local entities.

• 💼 Brief Take: China’s Debt Fabric

• 📚 Acrostics Anatomy: China’s Double Helix

• 👣 Asia’s Restructuring Milestones: China’s Bankruptcy Law

Adani Group Plans $5.25 Billion Debt Refinancing Including Ambuja Deal-Linked Loans

Adani Group is preparing to refinance nearly USD 5.25 billion of debt obligations until 2027, including offshore bond repayments and a large acquisition financing facility linked to the Ambuja Cements and ACC deal, Moneycontrol reported, citing documents and people familiar with the matter.

Bankers said any meaningful progress towards a settlement with the US Securities Exchange Commission (SEC) could improve lender sentiment, reduce compliance concerns and potentially widen the pool of global institutions willing to participate in future refinancing exercises.

Acrostics Asia wrote on 16 May 2026:

💼 Brief Take: Adani’s US Break

It’s unclear if Adani would follow through with a proposed USD 10 billion investment in the US, but it’s a headline number that can be hailed by Trump as a “win” for the Americans. Meanwhile, the easing legal overhang should pave the way for Adani’s conglomerate to get back on its fundraising trajectory.

VinFast Seeks to Shed Most Debt With Vietnam Factory Spinoffs

VinFast Auto said its planned sale of two Vietnamese factories will enable the electric vehicle maker to shed about VND 182 trillion (USD 6.9 billion) in debt and obligations while potentially speeding its path toward profitability, Bloomberg reported.

“After restructuring, VinFast will essentially be debt-free, with only a small amount remaining,” the company said.

• 📒 Quick Take: Vietnam’s Green Shoots

• 💼 Brief Take: Vietnam’s Risk Zone

Indonesia Roundup

Indonesia Rupiah Hits New Record Low

The Indonesian rupiah slid to a fresh record low as stocks slumped and global oil prices hit two-week highs, while the president said the economy was strong and the currency’s slide would not affect villagers because they did not use dollars, Reuters reported via CNA.

The rupiah fell more than 1% to a record low of 17,668 a dollar in early Monday trading.

On Saturday, President Prabowo Subianto spoke about the rupiah’s weakness at two events during a visit to East Java province, both times saying that villagers were not affected by it because they don’t transact in US dollars.

• 📒 Quick Take: Indonesia’s Year of Living Dangerously

• 📒 Quick Take: Indonesia’s Fight Against the Tide

• 📒 Quick Take: Indonesia’s Spinning Plates

Anglo to Sell Australia Coking Coal Mines for $3.88 Billion

Anglo American agreed to sell its steelmaking coal mines in Australia to Dhilmar for as much as $3.88 billion in cash, as the mining company continues to reshape its business, Bloomberg reported.

Dhilmar is led by Alexander Ramlie, an Indonesian former investment banker who was part of the Amman Mineral Internasional consortium which bought a large copper mine in the Southeast Asian country from Newmont Mining Corp.

Acrostics Asia is an independent credit intelligence provider that delivers forward-looking insights across Asian sovereigns, private credit and restructurings.

There were some key updates last week on Hong Kong’s commercial property and India’s high-yield space.

💼 Brief Take: Two Sides of Hong Kong’s Property Coin (13 May 2026)

Hong Kong’s commercial property market is on the upswing, and yet bankers handling bad loans in the city are reportedly busier than ever. These pictures may seem contradictory, but they’re actually two sides of the same coin.

I wrote that some loans were structured through special purpose vehicles (SPVs), limiting the recourse that the banks can pursue against the sponsors in the event of a default. While sponsors often request an extension or a restructuring, the banks may decide to enforce the loans during a market rebound rather than kicking the can down the road.

💼 Brief Take: Adani’s US Break (16 May 2026)

Indian billionaire Gautam Adani’s US woes had a breakthrough after he reportedly hired a new legal team led by Robert J. Giuffra Jr., one of President Donald Trump’s personal lawyers and the co-chairman of Sullivan & Cromwell.

It’s unclear if Adani would follow through with a proposed USD 10 billion investment in the US, but it’s a headline number that can be hailed by Trump as a “win” for the Americans. Meanwhile, the easing legal overhang should pave the way for Adani’s conglomerate to get back on its fundraising trajectory.

💼 Brief Take: SP Group’s Chess Piece (16 May 2026)

SP Group’s refinancing machinery is up and running, as the Indian group has reportedly secured commitments for more than half of its planned USD 2.7 billion fundraising. Some investors are likely betting that its 18.4% stake in Tata Sons is an important piece in an emerging power play – and can therefore be monetized one way or another.

🔎 Research Corner #4 (22 April – 15 May 2026)

The Bombay High Court’s decision to freeze the assets of Rolta India’s chairman in support of a New York contempt judgment was a significant development in cross-border enforcement. The ruling was “particularly remarkable” because the chairman was neither a borrower nor a guarantor under the company’s defaulted high-yield bond, according to Kobre & Kim.

The latest edition of Research Corner also includes insights on Indian group Vedanta’s “demerger” plan, China’s regional slowdown, data centres in Southeast Asia, Indonesia’s underlying economic fragilities, and Mongolia’s bond issuance outlook.

👟 Asia Restructurings (12 May 2026)

Within a year, Acrostics Asia has built a track record of accurately flagging companies that would fall into restructurings or liquidations and the likely sticking points.

• Sritex

• Krakatau Steel

• Novaland

• Del Monte

• SriLankan Airlines

Acrostics Asia is an independent credit intelligence provider that connects the dots across Asian sovereigns, private credit and restructurings.

US Set to Drop Charges Against Indian Billionaire Accused of Fraud

When the Justice Department indicted India’s richest man in the final weeks of the Biden administration, prosecutors described an “elaborate” bribery scheme involving “corruption and fraud at the expense of US investors.”

Now, the Justice Department is planning to drop the charges altogether, The New York Times reported, citing several people with knowledge of the case.

The reversal came after the Indian billionaire, Gautam Adani, hired a new legal team led by Robert J. Giuffra Jr., one of President Trump’s personal lawyers and the co-chairman of the prominent firm Sullivan & Cromwell.

As part of the same meeting, Giuffra sought to resolve a parallel civil case against Adani brought by the Securities and Exchange Commission (SEC), as well as a separate investigation by the Treasury Department. The SEC announced its settlement with Adani late Thursday; the Treasury Department could unveil its own deal in coming days.

Acrostics Asia wrote on 12 March 2026:

💼 Brief Take: India’s Battle-Hardened Billionaires

The Indian conglomerate has retained access to global lenders despite the legal risks from an ongoing Securities and Exchange Commission (SEC) case in the US. Some investors are sticking to Adani because they believe the SEC case might drag on for a while, a buyside friend said, adding that it should be a manageable scenario if the saga ends in a settlement or a fine.

India’s Shapoorji Pallonji Secures Over Half of Planned $2.7 Billion Fundraising, Sources Say

India’s Shapoorji Pallonji Group has secured commitments for more than half of its planned $2.7 billion fundraising and aims to complete the deal before end ​of next month, Reuters reported, citing two sources familiar with the matter.

Investors have committed about $1.5 billion across the rupee and dollar portions of the fundraising.

The group plans ‌to raise $950 million through dollar bonds issued by a unit, with the rest through rupee debt raised by Goswami Infratech. Foreign banks have secured commitments worth about $500 million equivalent from clients for the rupee debt tranche.

• 💼 Brief Take: Keeping the SP Dream Alive

• 💼 Brief Take: Asia Private Credit’s Growing Pains

• 💼 Brief Take: Shapoorji Pallonji Group’s Tightrope Walk

Troubled Platform UCars Wound Up on SGD 4 Million Debt

Troubled Singapore car portal UCars has been wound up, more than a year after it was revealed to be SGD 4 million (USD 3.1 million) in debt and owe salaries to former employees, The Business Times reported.

A letter sent to creditors indicates the company was wound up pursuant to a court order dated 20 March, with the reason being cash flow problems.

• 💼 Brief Take: Singapore’s Missing Cars

• 💼 Brief Take: Singapore’s Rental Car Wreck

• 📚 Acrostics Anatomy: Singapore Squeeze

Indonesia Roundup

Indonesia Allows Airlines to Raise Fuel Surcharge to 50% of Fare Ceiling

Indonesia’s Transportation Ministry has adjusted the fuel surcharge mechanism for domestic scheduled commercial flights, Jakarta Globe reported.

Under a Transportation Ministry regulation that took effect on 13 May 2026, airlines are now allowed to impose fuel surcharges of up to 50% of the government’s upper airfare limit, depending on the service category.

• 📚 Acrostics Anatomy: Indonesia’s Albatross

• 💼 Brief Take: Asian Airlines’ Survival of the Most Liquid

• 📒 Quick Take: Garuda Indonesia’s Quicksand

Court Ruling Raises Further Questions Over Future of Indonesia’s Nusantara

The Constitutional Court has reaffirmed that Jakarta remains Indonesia’s capital until a decree is issued to formally transfer its status to Nusantara in East Kalimantan, further raising questions over the project’s development under President Prabowo Subianto’s administration, The Jakarta Post reported via The Star.

The ruling came four years after the mega project was launched by former president Joko Widodo. Nusantara’s development has been slowing down under Prabowo, with various infrastructure projects facing delays.

The project also saw its budget slashed and redirected for Prabowo’s other flagship programs, such as the free meal rollout and Red and White cooperatives.

• 👟 Walk the Talk: Whoosh Whammy

• 📚 Acrostics Anatomy: Indonesia’s Infrastructure Timebomb

Acrostics Asia is an independent credit intelligence provider that delivers forward-looking insights across Asian sovereigns, private credit and restructurings.

AirTrunk Seeks $2 Billion Loan for Malaysia Growth

Blackstone-owned data center firm AirTrunk is marketing a USD 2.3 billion loan to fund a Malaysia project, Bloomberg reported, citing people familiar with the matter.

Proceeds will support the firm’s 200-megawatt AirTrunk JHB2 facility located in the southern state of Johor. About a dozen lenders – including DBS Group Holdings, Credit Agricole, ING Bank and United Overseas Bank – are arranging the three-year loan, which is being syndicated to the broader market.

• ☀️ Bright Spot #19: Mega Deals

• ☀️ Bright Spot #18: Data Centre Boom

Blackstone Drops $4 Billion New World Deal Over Control Clash

Blackstone has walked away from a proposed USD 4 billion tie-up with New World Development after the embattled property developer refused to hand over the reins, Bloomberg reported, citing people familiar with the matter.

The New York-based real estate investment firm has informed the company of its decision, ending a protracted yearlong negotiation that stalled in recent months.

Talks drifted since March as New World held parallel discussions with other suitors, including a consortium led by RRJ Capital and Ares Management. Unlike Blackstone, those groups are not pushing for a controlling stake, opting instead for minority positions that would allow the Cheng family to remain as the largest shareholder.

• 💼 Brief Take: Two Sides of Hong Kong’s Property Coin

• 💼 Brief Take: China’s Debt Fabric

• 📚 Acrostics Anatomy: China’s Double Helix

Petition Challenging Ratan Tata Trust’s Life Trustee Structure Withdrawn From Bombay High Court

The writ petition challenging Ratan Tata Trust's life trustee structure has been withdrawn from the Bombay High Court, NDTV reported. With the legal challenge dropped, Tata Trusts can now proceed with its 16 May meeting to reorganize its nominees on the Tata Sons board.

The challenge came at a time when governance questions within the Tata Trusts network have widened beyond trustee appointments to broader concerns over board procedures and compliance with trust deeds across multiple entities.

• 💼 Brief Take: Keeping the SP Dream Alive

• 💼 Brief Take: Asia Private Credit’s Growing Pains

• 💼 Brief Take: Shapoorji Pallonji Group’s Tightrope Walk

Indonesia Roundup

Indonesian Prosecutors Seek 18-Year Prison Sentence for Gojek Founder in Graft Case

Indonesian prosecutors said that they were seeking an 18-year prison sentence for Nadiem Makarim, a former Indonesian education minister and co-founder of ride-hailing firm Gojek, over his alleged involvement in a corruption case, Reuters reported via The Straits Times.

If granted, the 18-year prison sentence would be one of the toughest punishments imposed on a former minister in recent years.

• 📒 Quick Take: Indonesian State Capitalism

• 📒 Quick Take: Indonesia’s Kerfuffle

• 👟 Walk the Talk: Indonesian Outflows

Jakarta Responds to Chinese Business Concerns Over Nickel, Taxes and Visa Rules

Finance Minister Purbaya Yudhi Sadewa has responded to a letter from the China Chamber of Commerce addressed to President Prabowo Subianto, which outlines a series of concerns over the country’s investment climate, Jakarta Globe reported.

The letter highlights multiple policies that Chinese businesses say are adding pressure to operations in Indonesia, ranging from foreign exchange retention rules for natural resource exporters, nickel ore quotas, forestry enforcement, work visa procedures, and electric vehicle incentives.

Responding to the concerns, Purbaya said the policy would include exemptions designed to reduce the burden on companies operating in Indonesia.

• 📒 Quick Take: Indonesia’s Year of Living Dangerously

• 📒 Quick Take: Indonesia’s Fight Against the Tide

• 📒 Quick Take: Indonesia’s Spinning Plates

AGO Receives Report of Suspected Corruption at Garuda Indonesia

The Attorney-General’s Office (AGO) has received a report of suspected corruption at flag carrier Garuda Indonesia and will study it, Tempo reported, citing AGO official Syarief Sulaeman Nahdi.

The AGO had previously called Garuda’s commercial director “as part of the correspondence process of requesting information and strengthening coordination,” Garuda’s spokesman was quoted as saying.

• 📚 Acrostics Anatomy: Indonesia’s Albatross

• 💼 Brief Take: Asian Airlines’ Survival of the Most Liquid

• 💼 Brief Take: Garuda Indonesia’s Saudi Venture

• 📒 Quick Take: Garuda Indonesia’s Quicksand

Acrostics Asia is an independent credit intelligence provider that delivers forward-looking insights across Asian sovereigns, private credit and restructurings.

China’s $3 Trillion of Hidden Bad Debt Prolongs Economic Pain

China’s official bad loan ratio is 1.5%, but most economists say the true ratio is significantly higher, with some estimates as high as 10% or 20%, Bloomberg reported.

While the leniency, largely condoned by regulators in Beijing, has helped maintain financial stability over the past few years, it also means the banking system is recycling capital into unproductive companies rather than spurring real growth in healthy firms.

Acrostics Asia wrote on 8 March 2026 that the developers, banks, local government financing vehicles (LGFVs) and household wealth are all tied together in China, hampering official efforts to undo this Gordian knot.

💼 Brief Take: China’s Debt Fabric

“Unwinding these strands means someone has to take a loss, so the typical route has been to kick the can down the road. However, the proliferation of “zombie companies” is sucking resources from more promising businesses and stifling a broader economic recovery.”

NCLT Mumbai Rejects Johnson Screens’ Insolvency Plea Against Shapoorji Pallonji Over Interest Dispute

The Mumbai Bench of the National Company Law Tribunal (NCLT) declined to admit an insolvency plea filed by Johnson Screens (India) against Shapoorji Pallonji, BW Legal World reported.

The tribunal found that the claim failed to meet the statutory threshold under the Insolvency and Bankruptcy Code. The dispute arose from supply contracts linked to a Lucknow project, according to BW Legal World.

• 💼 Brief Take: Keeping the SP Dream Alive

• 💼 Brief Take: Asia Private Credit’s Growing Pains

• 💼 Brief Take: Shapoorji Pallonji Group’s Tightrope Walk

Indian Court Freezes Rolta Chairman’s Assets in Enforcement of New York Contempt Judgment

A Bombay High Court decision freezing USD 188 million of the Rolta India chairman’s assets in support of a New York contempt judgment underscores how courts may act quickly to preserve assets in cross-border enforcement matters, particularly where there are allegations of deliberate obstruction, according to Kobre & Kim.

Rolta India, the bond issuer, was declared bankrupt in a National Company Law Tribunal proceeding. However, following Chairman Kamal K. Singh’s continued non-compliance, the New York court held the chairman personally liable for contempt and entered a final money judgment of approximately USD 188 million against him, even though he was neither a borrower nor a guarantor under the bond.

• 👣 Asia’s Restructuring Milestones: India’s Reversal

Indonesia Roundup

China Chamber Writes to Prabowo on Business Climate Concerns

The China Chamber of Commerce in Indonesia has sent a letter to President Prabowo Subianto urging the government to improve Indonesia’s business climate, citing growing concerns among Chinese investors over regulations, law enforcement, and policy uncertainty, Tempo reported.

The organization complained that businesses operating in Indonesia are burdened by overly strict regulations, excessive law enforcement, as well as corruption and extortion involving certain authorities.

• 📒 Quick Take: Indonesian State Capitalism

• 📒 Quick Take: Indonesia’s Kerfuffle

• 👟 Walk the Talk: Indonesian Outflows

Indonesian Stocks Slide After MSCI Removes Six Companies From Index in Review

Indonesia’s benchmark stock index slid to a one-year low and shares of some companies owned by the nation’s richest families tumbled, after MSCI removed six firms from its Indonesia global standard index, Reuters reported via CNA.

The index provider announced it had removed Amman Mineral International, Chandra Asri Pacific, Dian Swastatika Sentosa, Barito Renewables Energy, Petrindo Jaya Kreasi and Sumber Alfaria Trijaya from the MSCI Indonesia Index following a quarterly review.

• 📒 Quick Take: Indonesia’s Year of Living Dangerously

• 📒 Quick Take: Indonesia’s Fight Against the Tide

• 📒 Quick Take: Indonesia’s Spinning Plates

Indonesia Wealth Fund Taps Mandiri Banker Ramadhana as CEO

Indonesia Investment Authority (INA) has hired investment banker Oki Ramadhana as its new chief executive officer, filling a leadership vacuum at the country’s first sovereign wealth fund, Bloomberg reported, citing people familiar with the matter.

Ramadhana previously served as president director at Mandiri Sekuritas, after holding a similar role and heading investment banking at HSBC Sekuritas.

Acrostics Asia is an independent credit intelligence provider that delivers forward-looking insights across Asian sovereigns, private credit and restructurings.

China Default Review 2026: Where Stress Shows In The Five-Year Crisis

Re-defaults in China's bond market are rising, signaling continued strain in the property sector despite tightened default restrictions, S&P Global Ratings said in its report.

Since 2020, 40% of defaulted onshore bonds re-defaulted after restructuring. Re-defaults first spiked in 2023 after the first round of property weakness in 2022, and again in 2025 after the second round in 2024. A third round this year may lead to the same in 2027.

• 💼 Brief Take: China’s Debt Fabric

• 📚 Acrostics Anatomy: China’s Double Helix

• 👣 Asia’s Restructuring Milestones: China’s Bankruptcy Law

RRJ, Pimco Invest in HK Developer PCPD’s $500 Million Bond Sale

RRJ Capital and Pacific Investment Management Co. are among investors in a USD 500 million bond offering from Hong Kong billionaire Richard Li’s Pacific Century Premium Developments (PCPD), Bloomberg reported, citing people familiar with the matter.

The investment firms have bought around 80% of the property developer’s new notes that are maturing in May 2029, with RRJ leading the deal. The offering would help refinance PCPD’s USD 800 million bond that’s coming due on 18 June.

• ☀️ Bright Spot #19: Asia Bond Wave

• 📒 Quick Take: Asian Credit’s Shifting Currents

• 📒 Quick Take: Asia’s Bond Tide

Golomt Bank Completes $500 Million Bond Issuance

Mongolia’s Golomt Bank has completed the issuance of a USD 500 million three-year bond with a coupon of 7.95%, according to its statement. Total orders reached around USD 2.1 billion, more than seven times the initial target size.

Golomt Bank said it elected to increase the final issuance size to USD 500 million. “This upsizing meaningfully enhances secondary market liquidity, supports more efficient price discovery, expands index inclusion potential, and further diversifies the bank’s international investor base.”

• 📒 Quick Take: Mongolia’s Financing Window

• 💼 Brief Take: Mongolia’s Bond Gallop

• ☀️ Bright Spot #16: Mongolia’s Emerging Track Record

Indonesia Roundup

Indonesia’s Supreme Court Urges Cross-Border Insolvency Reform

Indonesia’s Supreme Court urged the acceleration of a cross-border insolvency reform via the revision of the 2004 Law on Bankruptcy and Suspension of Debt Payment Obligations (PKPU), Hukumonline reported.

The issue of cross-border insolvency has been discussed for a long time and there’s a greater urgency now for it to be accommodated through a national regulation, according to Supreme Court Judge Syamsul Maarif.

Indonesia should not wait for cross-border insolvency cases to pile up before implementing a legal reform, he reportedly said.

• ☀️ Bright Spot #20: Southeast Asia’s Restructuring Evolution

• 👣 Asia’s Restructuring Milestones: Southeast Asia’s Mixed Platter

• 📒 Quick Take: Indonesia’s Restructuring Fault Lines

Danantara Plans 2028 IPO for Clean Energy Arm Denera

Sovereign wealth fund Danantara Indonesia is weighing a potential initial public offering for its clean energy unit Daya Energi Bersih Nusantara (Denera) as early as 2028, Jakarta Globe reported.

Denera is being developed into a major waste-to-energy operator through the consolidation of 33 waste-processing power projects across Indonesia.

• 👟 Walk the Talk: Danantara’s War Chest

• 📚 Acrostics Anatomy: Danantara’s Genesis

• 📚 Acrostics Anatomy: Danantara’s Bridge to Bonds

Acrostics Asia is an independent credit intelligence provider that delivers forward-looking insights across Asian sovereigns, private credit and restructurings.

Hong Kong Bad-Debt Bankers Ramp Up Fire Sales, Liquidations

A small group of bankers in Hong Kong tasked with cleaning up the city’s unprecedented pile of bad debt is done playing nice, Bloomberg reported.

They number under 200 people, less than 0.07% of the city’s finance workforce. But these so-called special asset bankers are up against a large and increasingly urgent task: cutting a HKD 200 billion (USD 25.5 billion) pile of soured debt that’s pushed the city’s distressed loan ratio to a two-decade high.

Working behind the scenes, the specialists have increasingly been turning to last-resort tactics of selling collateral or pushing borrowers into liquidation, often due to losses on Hong Kong commercial real estate.

• 💼 Brief Take: China’s Debt Fabric

• 📚 Acrostics Anatomy: China’s Double Helix

Moody’s Upgrades Vietnam’s MBBank

Moody’s has upgraded the local currency and foreign currency long-term deposit and issuer ratings for Military Commercial Joint Stock Bank (MBBank) from Ba3 to Ba2, aligning with Vietnam’s sovereign rating, The Investor reported.

The upgrade is underpinned by the bank’s above peer-average profitability, supported by improving deposit franchise, according to Moody’s.

• 📒 Quick Take: Vietnam’s Green Shoots

• ☀️ Bright Spot #14: Vietnam’s Bankruptcy Overhaul

DBS Sells Private Credit Fund Yielding Up to 20% to Rich Clients

Singapore-based firm Granite Asia has engaged the private banking arm of DBS Group Holding to raise additional capital for its first private credit vehicle, Bloomberg reported, citing people familiar with the matter.

Access to the fund, which reached its first close last year, was recently made available to wealthy investors via DBS Private Bank. It targets an internal rate of return of about 16% to 20% per year, with investor cash yields of about 8% to 10%.

• 💼 Brief Take: Asia Private Credit’s Growing Pains

• 📒 Quick Take: Asian Credit’s Shifting Currents

MinterEllison Advises Star Entertainment Group on Debt Refinancing

MinterEllison advised Australia’s Star Entertainment Group on its binding credit facility agreement with funds associated with WhiteHawk Capital Partners, providing for the full refinancing of the group’s debt, according to the law firm’s LinkedIn post.

The refinancing comprises a three-year facility of up to USD 390 million (approximately AUD 540 million) and replaces the group’s previous AUD 400 million syndicated facility agreement.

Indonesia Roundup

Indonesia Delays Mining Royalty Hikes But Policy Uncertainty Weighs on Sector

Indonesia has delayed plans to increase royalties on several mineral commodities as the government seeks a policy framework that can boost state revenue without undermining the competitiveness of the mining industry, The Business Times reported.

Energy and Mineral Resources Minister Bahlil Lahadalia said that authorities are still gathering feedback from mining companies before finalising the proposed changes.

• 📒 Quick Take: Indonesian State Capitalism

• 📒 Quick Take: Indonesia’s Kerfuffle

• 👟 Walk the Talk: Indonesian Outflows

Finance Minister Rules Out Another Tax Amnesty in Indonesia

Finance Minister Purbaya Yudhi Sadewa said Indonesia would not introduce another tax amnesty program, ruling out further pardons for tax evaders, IDNFinancials reported.

According to Purbaya, the program – which was held twice during the administration of former president Joko Widodo – had instead created risks for the finance ministry, particularly for tax officials.

• 👟 Walk the Talk: Indonesia’s Economic Fissures

• 📚 Acrostics Anatomy: Indonesia’s Economic Cracks

• 📚 Acrostics Anatomy: Indonesia’s Policy Disconnect

Acrostics Asia is an independent credit intelligence provider that delivers forward-looking insights across Asian sovereigns, private credit and restructurings.

There were notable developments in Indian high-yield/private credit and Southeast Asia’s restructuring and insolvency scene last week.

💼 Brief Take: Keeping the SP Dream Alive (8 May 2026)

BlackRock is reportedly considering an initial investment of USD 100 million to USD 200 million in a dollar bond to be issued by a unit of India’s Shapoorji Pallonji Group (SP Group). I unpacked the likely reasons why some lenders are still participating in the musical chairs despite the high risk.

SP Group’s refinancing story hinges on the shared incentives among the company, creditors and arrangers to maintain the hope of monetizing the group’s stake in Tata Sons.

📖 SP Group Notes (9 May 2026)

SP Group is one of the hottest names in Asian credit because everyone is watching whether India’s top private credit borrower can pull off its latest refinancing or fall off the tightrope. The local media have been shedding light on the stress points and underlying incentives that were helpful to understand the conglomerate’s refinancing machinery.

☀️ Bright Spot #20 (9 May 2026)

A lot has happened in Southeast Asia’s restructuring scene over the last six months:

• Vietnam introduced a new Rehabilitation and Bankruptcy Law that prioritizes rehabilitation over liquidation.

• The Supreme Courts of Singapore and Indonesia signed an MOU that – for the first time – provides a formal channel for judges in both countries to coordinate on the same insolvency or restructuring case.

• Malaysia saw its first “cross-class cramdown” (overcoming a holdout creditor class) decision.

In the latest On the Move, Zaid Ibrahim & Co acted as sole transaction counsel related to Malaysia’s first tokenized Sukuk issuance by Khazanah Nasional.

Adnaan Noor launched Ashmere Law Asia in Singapore, while Aisling Dwyer won the 2026 Melnik Award, which is given to a member whose contributions to the International Women’s Insolvency & Restructuring Confederation (IWIRC) over time have been exceptional.

👟 Indonesian Sovereign (5 May 2026)

Within a year, Acrostics Asia has built a track record of accurately flagging the real deal on Indonesia’s economy, sovereign fund and state-owned enterprises – even if it runs against the mainstream narrative.

• Indonesia’s Economy

• State-Owned Banks

• Danantara

• Garuda Indonesia

• Wijaya Karya

Acrostics Asia is an independent Asia credit intelligence provider that takes end-to-end ownership of its insights – from origination to production and distribution.

Billionaire Piramal’s Shadow Bank Plans $1 Billion Foreign Debt

Billionaire Ajay Piramal’s Indian shadow lender is looking to raise as much as USD 1 billion in foreign currency loans this year to meet strong demand for retail credit, Bloomberg reported.

Mumbai-based Piramal Finance will mainly tap foreign banks and multilateral agencies for the loan, with tenors ranging from three to five years, Chief Executive Officer Jairam Sridharan said in an interview.

• 💼 Brief Take: Keeping the SP Dream Alive

• 💼 Brief Take: India’s Battle-Hardened Billionaires

Zhong Lun Advises China Water Affairs on $150 Million Senior Notes Offering and Tender Offer

Zhong Lun acted as US, English and Hong Kong legal counsel to China Water Affairs Group on the offering of USD 150 million in additional 5.875% senior notes due 2030, according to the law firm’s LinkedIn post.

These notes will be consolidated and form a single series with the Chinese water supply company’s USD 150 million 5.875% senior notes due 2030 that were issued on 22 October 2025.

Zhong Lun also advised China Water Affairs on its concurrent tender offer to purchase for cash its outstanding 4.85% senior notes due 2026.

• ☀️ Bright Spot #19: Asia Bond Wave

• 📒 Quick Take: Asian Credit’s Shifting Currents

• 📒 Quick Take: Asia’s Bond Tide

State Fund IPO Opens Door to Buy Into Uzbekistan’s Growth Story

Uzbekistan is kicking off a planned series of initial public offerings with the sale of about a 30% stake in the state investment fund, as part of the Central Asian nation’s push to entice international investors, Bloomberg reported.

The government is offering shares in the National Investment Fund of the Republic of Uzbekistan (UzNIF) in London and Tashkent. The IPO is set to value the investment vehicle at USD 1.95 billion, a 20% discount to the pre-share listing net asset value, in a bid to drum up more interest. Many of the fund’s portfolio companies are slated for their own IPOs in the coming years.

• ☀️ Bright Spot #18: Asia’s Frontier Bonds

Indonesia Roundup

Indonesia Foreign Reserves Fall Further to Two-Year Low in April

Indonesia’s foreign exchange reserves fell further in April to the lowest in nearly two years as the central bank stepped up intervention to defend the rupiah, Bloomberg reported.

Foreign reserves fell USD 1.95 billion to USD 146.2 billion, the lowest since July 2024, due to the government’s external debt payments and the central bank’s measures to stabilize the rupiah, Bank Indonesia said. The stockpile has fallen by USD 10.27 billion this year.

• Independent Asia Credit Intelligence: Indonesian Sovereign

• 👟 Walk the Talk: Indonesian Outflows

Japfa Issues Debut $300 Million High-Yield Bond

Japfa Pte Ltd has issued its debut USD 300 million five-year high-yield bond with a 7.95% coupon, according to its LinkedIn post.

The offering had an orderbook of more than USD 1.35 billion, representing a 4.5x oversubscription, with investors from Asia (42%), EMEA (33%) and the US (25%).

• ☀️ Bright Spot #19: Asia Bond Wave

• 📒 Quick Take: Asian Credit’s Shifting Currents

• 📒 Quick Take: Asia’s Bond Tide

Acrostics Asia is an independent credit intelligence provider that delivers forward-looking insights across Asian sovereigns, private credit and restructurings.