China's Evergrande falls on the stock market, fear of bankruptcy resumes
Evergrande, the Chinese real estate giant, turned on the Hong Kong stock exchange on Thursday and saw its stock fall just over 10%.
© Reuters
Text by: RFI Follow
1 min
Evergrande's setbacks continue: after suspending its listing at the beginning of October, the Chinese real estate giant turned on the Hong Kong stock exchange on Thursday and saw its share fall just over 10%.
The fears of bankruptcy of this promoter resurfaced.
Advertising
Read more
The fall in the stock shows that investor concerns about Evergrande have not dissipated.
The real estate group was indeed unable to sell part of the capital of one of its subsidiaries, the transaction was estimated at 2.2 billion euros.
A large sum that Evergrande could have used to pay its deadlines.
Both the company and the Chinese authorities, however, are trying to reassure investors.
►
To read also
:
The crisis of Evergrande, Chinese real estate giant, makes the world markets feverish
A worrying silence of Chinese power
On Wednesday 20, the property developer said it would continue to implement measures to alleviate its cash flow problems.
A statement that follows that of the Chinese Central Bank.
The latter asserts that the risk of contagion to the Chinese financial system is "
manageable
".
What also makes the markets nervous is the lack of information from Beijing.
The Chinese power has still not said anything about what it intends to do with this real estate giant, weighed down by a colossal debt of 260 billion euros.
At the beginning of October, the Chinese giant had to
suspend its financial operations
on the Hong Kong Stock Exchange.
The stock has fallen by around 80% since the start of the year.
► Also to listen:
Evergrande, a "warning" for the Chinese economy
Newsletter
Receive all international news directly in your mailbox
I subscribe
Follow all the international news by downloading the RFI application
google-play-badge_FR
China
Finance