The Ad Hoc Group, representing investors owning over 75% of the bonds, said it would take a new approach should Novaland fail to negotiate the debt restructuring in good faith.
Novaland issued the bonds in Singapore in 2021 for five years with a coupon rate of 5.25% and listed it on the stock exchange there.
Novaland said it had discussed with the bondholders its liquidity difficulties which prevented it from paying the interest in time and a restructuring plan based on its current situation.
It has also drafted plans to restore operations together with foreign and domestic consultancies such as Deloitte, Sidney Austin LLP, and YKVN.
Novaland said it is aware of its limited resources but would aim to safeguard the bondholders’ interests.
"Novaland requests more time to recover during this period," it said in a statement.
"The company hopes to receive support from creditors and bondholders to soon stabilize its operations and fulfill its financial obligations to bondholders and related parties."
Legal hurdles for its projects such as NovaWorld Phan Thiet, Aqua City and The Grand Manhattan are being cleared, it said.
Other projects have also restarted with support from major partners like TPBank, MBBank, VPBank, contractors and construction firms, it added.