A public letter seen by Bloomberg shows that China asset management company Zhongzhi Enterprise Group warns that the company's "serious assets and non -debt", and its debt scale has reached more than twice the asset scale.
According to Bloomberg, Sino -Plant Wednesday (November 22) Investors said that their liability scale was about 420 billion to 460 billion yuan (about S $ 801 to 87.8 billion), and total assets were about 200 billion yuanEssenceThis further shows that China's trust industry with a scale of US $ 3 trillion (approximately $ 40.7 billion) is in trouble.
In the plant, because the group's assets are concentrated in debt and equity investment, the duration time is long, the collection is difficult, it is expected that the recyclable amount is low, the liquidity is exhausted, and the impairment of assets is serious.
"Preliminary diligence shows that the group has seriously funded debt and has a major continuous operating risk. The resources that can be used to pay debt in the short term are much lower than the overall debt scale."The letter also said that the self -rescue measures taken before were less effective than expected.
As one of China's largest private wealth management companies, when China has experienced the weak real estate crisis and economic growth, China Plant is also the latest financial giant in trouble.This asset management company with a management scale of more than 10 trillion yuan became the focus of attention in August because its subsidiary company failed to pay customers to customers with high -yield investment products.
Bloomberg has previously reported that the CIMC planned debt was reorganized and has hired KPMG accounting firms to audit its balance sheet.In addition, the trust company holding the shares signed a cooperation agreement with the two major financial institutions to maintain corporate operations and management.
Bloomberg reports that shadow banks such as Zhongzhi have not been strictly supervised, and they bring together family savings funds to lend and invest in real estate, stocks, bonds and commodities.In recent years, even when the competitors of the trust industry have reduced their risks, China Plant and its subsidiaries, especially China Rong International Trust, are still providing financing to developers in trouble, and purchased companies such as Evergrande of China Evergrande.asset.
