According to sources, Evergrande, the heavily indebted Chinese property behemoth, has missed interest payments to international investors for the second time in a week.
Evergrande was supposed to pay out $47.5 million (£35 million) to foreign bondholders by Wednesday.
Bondholders, however, informed news outlets that they had yet to receive payment.
The firm has a 30-day grace period under its investment agreements before the missing payments become a default.
Evergrande has yet to make a public statement on the matter. The firm, which was once China’s top-selling developer, now has debts of more than $300 billion.
In the face of societal upheaval in China, it has prioritized its liabilities.
Evergrande missed an interest payment of $83.5 million on an offshore bond last week, but reached a deal with domestic investors on a $35.9 million payment that was also due.
Sources informed Reuters that certain offshore Evergrande bondholders had not received any money or information on the subject when the deadline for a comparable interest payment passed on Wednesday.
As of Thursday morning, two bondholders informed Bloomberg they had not received payment.
Evergrande did, however, make a 10% repayment of wealth management products that were due by Thursday, which were primarily owned by onshore retail investors.
In recent weeks, the global markets have been gripped by the crisis gripping the world’s most indebted property developer.
Evergrande borrowed more than $300 billion to develop rapidly and become one of China’s largest corporations.
However, once Beijing enacted new laws to limit the amount owed by large real estate developers, Evergrande began marketing its homes at steep discounts in order to keep the firm surviving. It is currently struggling to make interest payments on its obligations.
Evergrande stated this week that it will sell its $1.5 billion interest in a commercial bank in order to pay off its debts.
Investors have been keeping a close eye on the situation as the company teeters between a catastrophic collapse with potentially far-reaching consequences, a controlled split, and the less probable option of a Chinese government rescue.