Evergrande Begins Repaying Wealth Product Buyers With Property | Investing Information

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BEIJING (Reuters) -Money-strapped developer China Evergrande Group has begun repaying buyers in its wealth administration merchandise with actual property, a unit of its essential Hengda Actual Property Group Co Ltd unit stated.

Evergrande, with over $300 billion in liabilities, is within the throes of a liquidity disaster https://www.reuters.com/enterprise/exclusive-china-evergrandes-lenders-weigh-up-loan-losses-rolling-over-credit-2021-09-17 that has left it racing to boost funds to pay its many lenders and suppliers. It has a bond curiosity fee of $83.5 million due on Thursday.

The corporate stated in a WeChat publish dated Saturday that buyers enthusiastic about redeeming wealth administration merchandise for bodily belongings ought to contact their funding consultants or go to native workplaces.

Monetary information outlet Caixin reported on Sunday that an estimated 40 billion yuan ($6 billion) in Evergrande wealth administration merchandise are excellent. Such merchandise are sometimes held by retail buyers.

Particular fee strategies and particulars are topic to native situations, a customer support consultant advised Reuters on Sunday.

In keeping with a proposal seen earlier by Reuters that Evergrande didn’t affirm, wealth administration product buyers can select from discounted flats, workplace, retail area or automobile parks for reimbursement.

Earlier this month, a inventory alternate submitting confirmed that Evergrande had repaid https://www.reuters.com/enterprise/fitch-downgrades-china-evergrande-sees-probable-default-2021-09-08 219.5 million yuan in overdue money owed because of provider Skshu Paint Co Ltd within the type of flats in three unfinished property initiatives.

On Sept. 10, Evergrande had vowed to repay https://www.reuters.com/article/china-evergrande-debt-idUSL1N2QC0Q9 all of its matured wealth administration merchandise as quickly as doable.

($1 = 6.4655 Chinese language yuan renminbi)

(Reporting by Aishwarya Nair in Bengaluru and Min Zhang and Tony Munroe in Beijing; Modifying by William Mallard)

Copyright 2021 Thomson Reuters.

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