Private Equity Firm Gaw Secures Last-Minute Loan Extension

Private equity firm Gaw Capital Partners secured an extension to a property-backed loan that was due Monday, people familiar with the matter said, after last-minute talks highlighting the enduring impact of China’s property crisis.

Lenders agreed to give Hong Kong-based Gaw an extra 18 months to repay the loan, which is backed by a life science park in Shanghai, said the people, asking not to be identified discussing private matters. Another 18-month extension will automatically kick in at the end of that time, if certain conditions are met, the people added. Because of pending regulatory approval, the extension will initially take the form of a one-year reprieve.