Concerns are growing, Evergrande’s foreign creditors have not received money – SME.sk

SHANGHAI. Some bondholders of China Evergrande Group abroad did not receive interest paid on Thursdays.

This was stated by two people familiar with the matter. This raises concerns about the fate of the developer.

The deadline for paying interest on bonds of $ 83.5 million (71.28 million euros) expired on Thursday without comment from Evergrande, whose pile of debts scares world markets.

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The company will now enter a 30-day grace period, and if it fails to meet its obligations, it faces bankruptcy.

A spokesman for Evergrand did not respond to a request for comment. The group is the second largest developer in China with more than 200,000 employees, 1,300 projects in 280 cities and assets of 2.3 trillion yuan (304.06 billion euros). It owes about two trillion CNY to creditors.

Other large developers, such as Vanke Co., the state-owned Poly Group and Wanda Group, have not reported similar problems.

But hundreds of smaller construction companies ended up after regulators began tightening control over funding in 2017.

On Friday, investors who gathered in front of Evergrand’s headquarters in Shenzhen said the company had agreed to a telephone conversation.

Evergrande announced on Wednesday that it had agreed on details of interest payments due on Thursday to banks and other bondholders in China, but did not disclose any further details.