Dealing with debt: a time line of how Hui Ka-yan’s Evergrande landed back in crisis mode with the world’s heaviest debt load
- The clock is ticking for China’s most indebted property developer to find its way out of a looming credit crunch
- In August alone, China Evergrande Group has endured multiple credit-rating downgrades that sent its stock and bonds tumbling
This month alone, China Evergrande Group has endured multiple credit-rating downgrades that sent its stock and bonds tumbling, only to see them recover briefly after it confirmed talks to sell some prized assets and as creditors extended liquidity relief to help it pay overdue bills.
Here’s a look at other key events over the past few months that have sent Evergrande investors on a wild ride:
August 12
China’s central government instructed authorities in Guangdong province to map out a plan to manage Evergrande’s debt problems. At least three major creditors agreed to give the developer extensions on some project loans.
August 11
At HengTen Networks Group, Evergrande’s internet service arm, Ke Liming took over from Xu Wen as chairman. Xu, a former executive at Evergrande, served as HengTen’s chairman since April 2017. Evergrande raised US$418 million selling a stake in the business just days earlier.