Evergrande Crisis

Evergrande Crisis : Hongkong Stock Exchange suspend trading  Evergrande 

Hong Kong Stock Exchange suspended Chinese real-estate gient Evergrande share to trade . Investors are panic and waiting for Evergrande restructuring plan. Also index of Chinese developer shares slumped 2.8% , with Sunac China Holdings Ltd. and Shimao Group Holdings Ltd also plunging more than 10%.

The Honk Kong

stock exchange did not give a reason for the trading halt.

Evergrande Group has more than $300bn (£222bn) of debts and is unable to raise fund by selling assets at a discount price and shares plunged more than 80% to repay suppliers and creditors. The industry will need to find at least $197 billion to cover maturing bonds, coupons, trust products and deferred wages to millions of migrant workers. 

On Friday, Evergrande officials dialled back plans to repay investors in its wealth management products, saying each investor in its wealth management product could expect to receive 8,000 yuan ($1,257) per month as principal payment for three months irrespective of when the investment matures.

The company had earlier not mentioned any amount and had agreed to repay 10% of the investment by the end of the month when the instrument matures.

Evergrande official said in a statement posted on the wealth unit's website that the situation was not "ideal" and that it would "actively raise funds", and update the repayment plan in late March, without giving further details.

The Evergrande announcement was seen as highlighting the deepening shortage cash at the struggling property developer.

Source

HKG:3333 https://g.co/kgs/YRCc7C

http://www.shimaogroup.hk/en/Shimao/Index

https://en.m.wikipedia.org/wiki/Evergrande_Group