Chinese property developer Kaisa announced that its shareholders had approved the issuance of $4.8 billion worth of mandatory convertible bonds as part of its debt restructuring plan.

The shareholders also approved the issuance of a work fee share of approximately $26.9 million with Citicorp International, a bond trustee for an ad hoc group of bondholders, the company confirmed.

Kaisa, one of the many developers affected by China's property crisis, has been working on restructuring its debt since it defaulted on $12 billion in offshore bonds in late 2021.

The restructuring plan also includes other debts, such as loans and yuan-denominated asset-backed securities.

Kaisa, the second-largest offshore debt issuer among Chinese developers after China Evergrande Group, was the first to default on dollar bonds in 2015. The company is set for a Hong Kong court hearing on December 19, where it plans to seek permission to hold a creditors' vote on its debt overhaul plan.