Chinese real estate company Country Garden this year in the debt crisis this year, this year, Country Garden has been in the debt crisis this year.The losses of 48.9 billion yuan (RMB, the same below, about S $ 9.059 billion) were recorded in half a year.Country Garden admits that the company has faced the biggest difficulties since its establishment and warned the possibility of debt defaults.
Comprehensive Bloomberg, Agence France -Presse and Hong Kong Economic Daily reported that Country Garden was announced in documents submitted to the Hong Kong Stock Exchange on Wednesday (August 30) that the loss of shareholders attributable to the company in the first half of this year was 48.93 billion yuanIn the same period last year, the net profit was 610 million yuan, and the shareholders should account for 1.79 yuan per share.
Country Garden announced that the total revenue of the group in the first half of this year increased by 39.4%year -on -year to 226.31 billion yuan.Essence
As of the end of June this year, Country Garden's total borrowing (interest liability balance) fell to about 257.91 billion yuan, of which 108 billion yuan will be expired in the next year.At present, the company's cash balance has been reduced to 130.57 billion yuan, of which the restricted cash balance is 29.5 billion yuan.The restricted cash mainly includes a deposit that has not been lifted by pre -sale property construction and workers' wages, and funds frozen due to litigation.
Country Garden said that since 2021, the external environment of the real estate industry has undergone tremendous changes. Although the company predicts the adjustment cycle of this roundIn the case of more intense response measures, the insufficient understanding of potential risks such as excessive investment ratio in third- and fourth -tier and lower cities, insufficient liability rate decreases, etc.The biggest difficulty.
Country Garden warns that if the financial situation continues to deteriorate in the future, it may not be able to meet the financial contract terms of several borrowings, resulting in breach of contract.The company will do its best to improve operating cash flow, do sales, revitalize assets, reduce unnecessary expenses, and adopt various debt management measures to resolve staged liquidity pressure.
After the above financial report was announced, Country Garden's stock price closed on Wednesday, a 3.3%decline, and fell to HK $ 0.88 (about S $ 0.15).Since the beginning of this year, Country Garden's stock price in Hong Kong has plummeted 67%and has become a fairy stock.
Country Garden was the highest sales real estate developer in China, but it is currently trapped in the dilemma that cannot be repaid spiral rising debt.Whether this large private housing company can avoid breach of contract will affect domestic and foreign investors' confidence in the future prospects of the Chinese real estate industry.If Country Garden cannot repay the private equity bond expired on September 4, it will be officially caught in a default of debt.The balance of this bond is RMB 3.904 billion, which is also the largest bond in Country Garden's domestic bonds in the next year.
For this reason, Country Garden plans to hold a debt holder meeting from August 29th to 31st to seek to increase the naturally width time of 40 natural daily width to the above debt, and to avoid the first time the bond defaults will be made.
Country Garden also proposed to issue 351 million new shares on Wednesday, and the total price of the subscription shares is HK $ 270 million (about 47 million yuan), which is used to offset some of the company's arrears.
