After the suspension of trading for nearly a year, the Chinese developer Jiazhaoye Group resumed trading on Friday and set the biggest historical decline.Although the company has disclosed huge losses, the analysis believes that the performance announcement is conducive to market evaluation of its financial status, debt restructuring or progress.
According to Bloomberg, Jiazhaoye fell 41%in the early morning in Hong Kong, a decline in the largest market since its listing in 2009; as of the end of the morning transaction, it fell 26%to HK $ 0.62 (S $ 0.11).The stock has suspended trading since April 1 last year due to its failure.The company's US dollar bonds have not changed much on Friday, and each dollar's purchase price shakes around 15 cents.
While announced the resumption of trading on Thursday (9th) in the evening, Jiazhaoye announced that the net loss in the first half of 2022 was approximately 7.67 billion yuan (RMB, the same below, S $ 1.492 billion).More than double; the net loss in 2021 also reached 12.73 billion yuan.
Daniel Fan, a senior credit analyst at BI, pointed out in the report that performance release will help investors better evaluate the financial situation of Jiazhaoye, and the group's debt reorganization may make progress in the middle of this year.He said that when the real estate market recovers, the company's 60%of the land reserves in the Greater Bay Area may be easier to be sold.
Jiazhaoye has attracted market attention for a time due to a default of US dollar bonds in 2015, and has once stepped out of the predicament.With the spread of real estate liquidity crisis in this round, the company once again fell into a dilemma of breach of contract.After the decline of Jiazhaoye's resumption, or due to the overall trend of the industry, during its suspension, the Bloomberg Industry Research (BI) Chinese Real Estate Index that followed the Chinese real estate stocks fell more than 23%.
With the re -opening of the economy, Chinese residential sales have also recovered. The sales trading amount of the top 100 housing companies in February increased by 14.9%year -on -year, and the first year -on -year growth of the record since June 2021.Some breach of contract companies have also made progress in the US dollar debt restructuring.However, during the period of the two sessions, the Chinese Prime Minister mentioned the prevention of "disorderly expansion" of real estate, showing that the decision -making signal participation was also worried.
Jia Zhaoye wrote in the performance announcement that the financial adviser to the reorganization of Hualian Nuoki (China) Co., Ltd. has been appointed as a financial adviser to its overseas debt reorganization."However, due to the continuous changes in market conditions, it still takes time to formulate or implement relevant actions." The announcement also said that it will continue to seek new financing sources or speed up asset sales to cope with the upcoming financial responsibilities and future cash needs.
Due to the failure to release performance announcements on schedule, many Chinese listed companies have collectively suspended trading in Hong Kong since April 1 last year.So far, real estate companies such as Sunac China and Shimao Group are still suspending.
