Hong Kong court adjourns Evergrande’s winding-up hearing until January 29, giving world’s most indebted developer another reprieve
- The next hearing will be on January 29, giving the Guangzhou-based developer eight weeks to get its house in order and stave off liquidation
- The lawsuit was filed by Top Shine Global in an attempt to recover US$110.4 million from a botched investment in Evergrande in March 2021
The next hearing will be on January 29, giving the Guangzhou-based developer eight weeks to get its house in order and stave off liquidation, Justice Linda Chan told a packed courthouse. This was the seventh time the petition has been adjourned.
This came as a surprise as the High Court judge had warned during the last hearing on October 30 that she was “highly likely” to grant a winding-up order, if no restructuring plan was forthcoming by December 4.
Justice Chan said the developer had consumed too much time over the past 18 months on its negotiations with creditors but she still approved the adjournment after lawyers said they may reach a deal that would offer higher returns to creditors than in the case of liquidation.
The judge decided to delay the hearing after the lawyer representing Top Shine, the creditor which filed the lawsuit against Evergrande, did not press on with the winding-up demand. No explanation was given.