The shares of real estate developer Kaisa were suspended on the Hong Kong stock exchange yesterday, Wednesday.
The company has to repay bonds amounting to 400 million US dollars (355 million euros), an agreement on a deferral has – as reported – failed for the time being. Now a group of bondholders have made a proposal to Kaisa. The result is still open, reported Bloomberg. The share price has lost 75 percent of its value this year.
The government’s tightened crackdown on the high debt levels of real estate companies has increasingly brought the industry into trouble. Evergrande is more than $ 300 billion in debt. The Aoyuan Group also announced last week that there was no guarantee that certain payments could be made due to liquidity problems.
Source: Nachrichten
