Evergrande Group has just missed another bond payment, casting further doubt over the future of the embattled property developer at the epicenter of China’s real estate crisis.
Hengda Real Estate, Evergrande’s flagship unit in mainland China, missed principal and interest payments on Monday on an onshore 4 billion yuan ($547 million) bond, the company said in a filing to the Shenzhen Stock Exchange.
Evergrande, which had total liabilities of $328 billion at the end of June, first defaulted on its debt in 2021, sparking a crisis that continues to weigh on China’s vast property sector.News that it had missed another payment rattled investors, who had already been fretting about the fate of the property giant after it warned Sunday that attempts to restructure its debt were in trouble because of a regulatory probe into Hengda.
That warning, which came after the revelation of a separate criminal probe into its shadow banking unit, raised questions about whether the property giant can still complete the multi-billion-dollar debt restructuring that is being closely watched by global investors.
