Topic

China Evergrande Groupi

News and analysis about China Evergrande Group, one of the country's biggest property developers by sales volume. Coverage includes Evergrande's real estate projects in mainland China and Hong Kong, as well as its forays into so-called new energy vehicles (NEVs), and its stake in the football club Guangzhou FC, known as the Guangzhou Evergrande Football Club until 2021.

Advertisement

The fallout from the accounting fraud at China Evergrande will not be limited, and the handling of the case is just a piece of the puzzle showing how China manages its property slowdown.

China Evergrande chairman Hui Ka Yan, now under criminal investigation, is a symptom of a system that is no longer delivering results for average families, raising questions about the path forward.

videocam
  • ‘Hiring an independent third party to perform a hypothetical liquidation analysis has no direct connection to an actual liquidation,’ company says
  • The analysis aims to show creditors and the court that a restructuring is more beneficial to stakeholders, Country Garden says

Evergrande, which has the dubious honour of being the world’s most indebted developer with US$332 billion of liabilities, stands accused of inflating its revenue by 564 billion yuan (US$78 billion) preceding its collapse.

videocam
Advertisement
Advertisement

Some of China’s largest insurers are sounding the alarm over the debt risks of China Vanke, according to people familiar with the matter, as shares and bonds of the firm hit record lows on repayment concerns.

Receivers are seeking bids for 10E on Black’s Link, a three-storey detached house on The Peak linked to Hui Ka-yan, whose flagship Evergrande Group was forced into liquidation by a Hong Kong court in January.

videocam

Family members of Hui Ka-yan may be scrambling to move their money around to prevent it from being confiscated, a month after the property giant was ordered to wind up, according to analysts.

videocam

Global restructuring specialists have increased their headcount as rising defaults by Hong Kong-listed Chinese property developers requires them to enter into restructuring talks with creditors or face liquidation.

New home prices in China’s top cities fell 0.37 per cent in January versus 0.45 per cent in December. A sharp cut to the loan prime rate indicates further loosening could be on the way, Goldman Sachs says.

videocam

Embattled mainland Chinese property developer Sunshine 100 is evaluating the impact of a winding-up order against its controlling shareholder, Joywise Holdings, according to a filing with the Hong Kong exchange.

The debt crisis at Redsun Properties is going from bad to worse as it has missed payments on several offshore bonds since mid-2022 as China’s housing market struggles to overcome a three-year slump.

videocam

Guangzhou R&F is seeking to offload a UK asset in the latest attempt to trim its debt burden. It is turning to Hong Kong tycoon Cheung Chung Kiu to survive the crisis.

No bids were received for Fengtao’s ‘other account receivables’ at the end of the 24-hour deadline on Friday morning, according to auction platform Jingdong Paimai.

videocam

The liquidation order could be difficult to implement as most of Evergrande’s assets are not in the three mainland Chinese cities covered under a cross-border scheme, according to S&P Global Ratings.

videocam

Shares in two China Evergrande subsidiaries stabilised when trading resumed in Hong Kong on Tuesday. The parent company remained suspended as court-appointed liquidators took control of its operations.

videocam

A winding-up order against China Evergrande Group, one of the world’s most indebted property developers, sparked a rally in the rest of the sector amid hopes authorities will introduce easing measures for the remaining players.

videocam

Some question whether Hong Kong liquidators will be able to secure recognition and help from mainland Chinese courts to effectively seize Evergrande assets on the mainland.

videocam

The lawsuit was initiated in June 2022 by Lin Ho-man’s Top Shine Global, which was trying to recover HK$862.5 million (US$110.4 million) from Evergrande after a botched investment in March 2021.

videocam

Hengda Real Estate Group Yuedong is selling its entire 65 per cent stake in Shantou Hengmeng Property Development for US$19.4 million, according to a filing to the Hong Kong stock exchange late on Thursday.

videocam

State-owned companies will dominate as the age of ‘fast leverage and fast growth’ is over, and developers face brutal years ahead, analysts said.

videocam

China Evergrande stood by its audited accounts after changes to its revenue recognition methodology from 2021 prompted analysts at GMT Research to say the firm was ‘never profitable’.

videocam

Judge Jonathan Harris will deliver his verdict on Thursday following a two-day trial over a creditor’s objection to the offshore plan offered by the defaulted developer.

videocam

Another key executive within the debt-laden China Evergrande group has been detained by mainland authorities, three months after the arrest of its founder Hui Ka-yan.