Chinese Evergrande stocks drop 11.6% as offshore bonds expire
Update 1: Add slug
Shanghai, China, Sep 24 (EFE) – Shares of Chinese real estate giant Evergrande fell 11.6% on Friday after the term expired a day earlier to pay interest on a group “offshore” bonds.
Although at the start of the session the decline was much more moderate, just over 2%, uncertainty prevailed over the payments mentioned, which would imply a disbursement of around $ 84 million.
The company has now entered a 30-day period before it is officially considered to be in default.
To this will be added an additional $ 47.5 million from another batch of âoffshoreâ bonds on September 29.
Evergrande had promised to pay interest on a batch of bonds listed in yuan through the Shenzhen Stock Exchange – the equivalent of around $ 36 million. This temporarily eased investor fears about a possible bankruptcy of the company, which rose 17.6% yesterday on the stock market.
The conglomerate’s liquidity problems and the poor performance of some of its activities are among the factors that have caused its market value to fall by more than 80% since the start of the year.
Of the company’s total liabilities, which amount to more than $ 300,000 million, some $ 37,000 million correspond to loans to be repaid before the end of the first half of 2022. EFE
vec / lds