Just two years ago she was the richest woman in Asia with an estimated $29.6bn (£23.4bn) fortune, but now Yang Huiyan, the chair and majority owner of Chinese property developer Country Garden Holdings, is battling to save the company from collapsing into default. Country Garden, which was founded by Yang’s father – a farmer – in 1992, had grown to become China’s largest property developer, completing thousands of projects across the country. As the Chinese property bubble bursts, the company is now fighting for its very survival and Yang’s billions…
Tag: Evergrande
Evergrande shares plunge further amid China economy fears
Shares in Evergrande fell another 13% on Tuesday after more than $2bn was wiped off the Chinese property developer’s market value when it resumed trading for the first time in almost 18 months on Monday. Evergrande, the world’s most indebted property firm with liabilities of $328bn (£260bn), has lost more than 99% of its share market value over the past three years. The company resumed trading on the Hong Kong stock exchange on Monday after a 17-month suspension which Evergrande used to try to restructure its offshore debt. However, investors…
China’s property crisis deepens as developer Country Garden at risk of default
China’s property crisis deepened as two major developers faced severe financial difficulties that threaten to send shock waves through the country’s economy and beyond. Evergrande, the poster child for the woes of China’s property sector, filed for chapter 15 bankruptcy protection in New York on Thursday. The provision permits the company to protect its US assets and will allow cross-border bankruptcy proceedings as it undergoes a restructuring. The filing from Evergrande, which defaulted in 2021 after a liquidity crisis, came a day after China’s securities regulator notified the company’s Chinese…
China’s struggling property giant Evergrande files for bankruptcy protection in US
China’s Evergrande Group, the world’s most heavily indebted property developer and the poster child for the country’s property crisis, has filed for bankruptcy protection in a US court. The company sought protection under chapter 15 of the US bankruptcy code, which protects its US assets while it attempts a restructuring deal. The code also provides mechanisms for dealing with insolvency cases involving more than one country. Evergrande, once China’s top property developer, was found in 2021 to be struggling with more than $300bn in liabilities, as government officials tightened scrutiny…
A Ponzi scheme by any other name: the bursting of China property bubble
A little more than a year ago, a Chinese property developer largely unknown to the outside world said its cashflow was under “tremendous pressure” and it might not be able to pay back some of its eye-watering debts of $300bn (£275bn). Today, that company, China Evergrande Group, is all too well known as the poster child of the country’s economic woes. House prices in China have fallen in each of the 12 months since Evergrande’s now prophetic warning, with Xi Jinping’s government now preparing to throw billions of dollars at…
Evergrande lenders appoint receiver to seize Hong Kong HQ – sources
Lenders to the struggling Chinese developer Evergrande Group have appointed a receiver to seize its Hong Kong headquarters, two sources have said, as the world’s most indebted developer struggles to emerge from its debt crisis. Evergrande is saddled with more than $300bn (£260bn) in liabilities and has been kept alive by a government-run rescue operation since it defaulted on $22.7bn of overseas debts in December last year. It has been trying to sell its 26-storey China Evergrande Centre in Hong Kong’s Wan Chai district as part of its asset disposal…
Growing pains: China’s faltering economy tests leadership’s nerve
On his tour of the southern Chinese city of Shenzhen last week, Li Keqiang, the premier, tried to send some positive energy at a time many citizens have been complaining of economic hardship. “China’s opening will continue. The Yellow river and the Yangtze river will not flow backward,” Li said, striking an upbeat tone while visiting Yantian Port, a gateway to Europe and North America, two of China’s biggest markets. “The waters of Yantian Port will also flow incessantly, and not only will continue to maintain your advantages, but also…
Evergrande shares rise as they resume trading after suspension
Shares in the embattled Chinese property developer Evergrande rose on Tuesday after they resumed trading on the Hong Kong stock exchange following a suspension. China’s second-biggest developer halted trading on Monday after receiving an order from authorities at Danzhou city in Hainan on 30 December telling it to demolish 39 under-construction buildings at the Ocean Flower Island project. Shares in the company, whose market value has plunged almost 90% over the last year, jumped by 10% after they resumed trading on Tuesday and Evergrande announced that the demolition order would…
China Evergrande shares suspended from trading in Hong Kong
Shares in China’s Evergrande Group have been suspended from trading, the embattled property developer announced on Monday. Evergrande did not give any reason for the suspension but it came amid Chinese media reports that the world’s most indebted developer was ordered by authorities in southern Hainan province to demolish 39 buildings in 10 days because the building permits were illegally obtained. The ordered reportedly concerns the huge Ocean Flower project, which is a resort-style development built on islands off the coast of Hainan, according to the Chinese news outlet Cailian.…
Evergrande: ‘Everyone bet on inexorably rising Chinese property prices’
The crisis engulfing the Chinese property sector appears certain to intensify in 2022 as companies face debt repayments in the new year that are double those of the final months of 2021, risking what one China expert calls a systemic crisis for the world’s second-biggest economy. Although concerns about the stricken giant China Evergrande have receded in recent weeks behind a massive state-led restructuring operation, it missed a bond repayment of $255m (£190m) on Thursday and the debt problems that have pushed the second biggest developer in the country into…