Evergrande meet with maritime bondholders to delay payment

Evergrande will hold an online conference with renminbi bond holders this week as a heavily indebted Chinese producer seeks to delay repayment and fight to end its real estate business.

Hengda Real Estate Group, the largest Evergrande company on the coast, will hold a meeting with a number of votes from January 7-10 with those with Rmb4.5bn ($ 707m) offshore, the company said in a statement on the Shenzhen stock exchange. Wednesday.

Evergrande is in the middle of a difficulties in China’s vast economic sector, and the reduction in costs that force companies to fail to repay their global debt.

Evergrande, the world’s largest debtor, with more than $ 300bn in debt, from land and seas to contractors, Evergrande is at the forefront of major political and political issues. repair process.

The group has been missing out on a number of maritime bonds since September. He transfers the money within the grace period of 30 days but failed to do so at the end of such a period in December, which led Fitch to do so. legally abandoned.

At their meeting this week, which will focus on renminbi debtors growing in January 2023, Evergrande will try to change the date of redemption that would allow investors to redeem from January 8 to July 8. It will be the same. seek to delay payment of coupons at the same time.

Chinese marketers and officials have highlighted the need to resume work in Evergrande for hundreds of jobs, which homeowners often pay for construction work before it is completed, following the suspension last year. On December 26, Inu Ka Yan, the billionaire chairman of the group, said in a statement on social media that his goal was to provide the goods to the owners.

Selling in Evergrande shares was suspension Monday after Chinese media reported that the company was forced to demolish 39 apartments in southern Hainan. Writing to the Hong Kong stock exchange on Tuesday, Evergrande confirmed the authorities were overthrowing.

The group said its shareholding in 2023 was Rmb443bn, a 39 percent decline last year according to Citi analysts, who also said its sales were down 99 percent in December last year.

Evergrande also said “it will continue to actively engage with debtors, work to eliminate risks and protect the rights and interests of all”.

Consultants to a group of countries with Evergrande corporations, including the law firm Kirkland & Ellis and the boutique bank Moelis, he complained in October due to a lack of good cooperation with the company.

Separately, they share Huarong, China’s top debt regulator and most affected by early lenders in 2021, lost half of their value when the stock market resumed on Wednesday.

The sale was suspension April ended when the company failed to release its results, which led to a fall in the prices of its maritime bonds. In August, the group revealed a loss of $ 16bn and later revealed a lot of a $ 6.6bn extension from state-owned companies including Citic. Huarong in the past was the majority of China’s Ministry of Finance.

Shares fell 55 percent in Hong Kong and Huarong’s long-term bond, which was trading at 54 cents a dollar in May, is now close to its value.