(Shenzhen Comprehensive News) China Real Estate Giant Evergrande Group is facing a critical moment.If the court presented the liquidation, not only the chairman of the group Xu Jiayin It may lose control, Evergrande will also become the largest real estate developer in Hong Kong's law history.
Bloomberg reports that Evergrande, which is about $ 327 billion (S $ 447.6 billion) in liabilities, will face a liquidation of a liquidation in the Hong Kong High Court on Monday (October 30).The risk of liquidation has increased greatly.
It is reported that the change of the attitude of the creditors stems from the temporary cancellation of the meeting with the creditors in September, making the creditors group holding more than 6 billion US dollars offshore bonds feel the drums.
Evergrande recently stated that it is adjusting its offshore debt restructuring clauses to meet the needs of all parties.Bloomberg quoted people familiar with the matter and said that Evergrande representatives had communicated with Class C creditors last week, but the specific details were unknown.Class C creditors have a total of 15 billion US dollars in debt, which is one of the main obstacles of Evergrande's restructuring plan.
No new defense documents were submitted before the period before the period to increase the risk of liquidation
On the other hand, Reuters quoted people familiar with the matter and said that the Hong Kong High Court asked Evergrande to submit new defense documents, but the group did not do it before the deadline.People in the legal community believe that this also increases the risk of liquidation in the court.
Evergrande's lawsuit has been postponed many times, dragging for nearly 17 months.Ma Gulis, a partner of the Asian Reorganization Affairs Firm, said that Evergrande could be successfully extended before, because it was supported by the special group and was undergoing a restructuring plan.But today's two favorable conditions have been questioned, which means that Evergrande and their consultants may face real difficulties at the upcoming hearing.
Despite the complex jurisdiction problems and the stability of China to maintain the stability of developers to ensure that buyers are resettled, the Hong Kong courts have issued a liquidation order for three Chinese real estate developers since the debt crisis broke out in 2021.
