On August 25, the China Evergrande group was removed from the Hong Kong Stock Exchange.
Earlier this month, Evergrande said in his deposit, Evergrande said in his introduction that Hong Kong Exchangs and Clearing have informed the most real estate developer in the world that her list would be canceled because of her failure to “fulfill any of the requirements” to resume trading. The company later announced that it will not request a review of the stock exchange decision.
The shares of the Guangzhou developer, which is headquartered in trading since January 29, 2024, was suspended on that date, the Hong Kong Supreme Court ordered Evergrande to not submit a viable restructuring plan.
Under HKEX rules, suspended companies are removed for 18 months in a row. Ironically, the company was only traded for 16 months – and it is attached to an increase in the property boom in China earlier in the contract.
In early August, the liquidators appointed by Evrande, Alvarez & March, provided an overview of the liquidation process during the past 18 months. As of mid-August, the two lined up took control of more than 100 subsidiaries of Evergrande-using approximately $ 2 billion Hong Kong (about $ 255 million), primarily from non-medium assets.
The determination and unification of the local and foreign assets of the company continues, although the complex property structures and wild equality may ultimately restrict the regains of creditors. Investigations were crowned with major legal demands, as 187 debt evidence was submitted about $ 350 billion, Hong Kong. However, the official judgment on the claim will only occur when the distribution of profits is possible. The local press reported that this number was much greater than $ 27.5 billion in the obligations that were revealed in the financial statement of Evergrande in December 2022.
The policy of three red lines in China is designed for 2021 to clarify heavy debt developers and cold local housing prices. The initiative, Evergrarandi, which was more than $ 300 billion, has damaged the obligations. Evergrande left its marine bonds in late 2021, which led to global concerns about the infection of the decrease in acute real estate on the mainland.
According to Russian Vigold, a political risk analyst in Taipei, it is a reminder that although it is in a jurisdiction with some somewhat strong laws and the rules of listing, according to analysts coverage by major investment banks, he can still a lot of debt. ”
