Country Garden liquidation hearing adjourned to January next year, court says

Published Mon, Jul 29, 2024 · 11:42 AM

Chinese developer Country Garden defaulted on its US$11 billion worth of offshore bonds last year. PHOTO: REUTERS

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A HONG Kong court on Monday (Jul 29) adjourned a hearing into a petition seeking liquidation of Country Garden until Jan 20, 2025, giving a breather to the embattled Chinese developer which is trying to finalise an offshore debt revamp plan.

Ever Credit Limited, a unit of Hong Kong-listed Kingboard Holdings, filed the liquidation petition against Country Garden in February for non-payment of a US$205 million loan.

The developer defaulted on its US$11 billion worth of offshore bonds last year.

A lawyer for Country Garden told the court on Monday that the developer expected to publish offshore debt restructuring term sheets in September, and that it planned to seek approval from the court on that arrangement early next year.

The hearing into Country Garden’s liquidation petition comes against the backdrop of Chinese authorities stepping up efforts to revive the property sector after it slipped into an unprecedented debt crisis in mid-2021.

Over the last couple of years, a growing list of developers have defaulted on their offshore debt repayment obligations.

Country Garden returns to court to make case against liquidation

New-home prices in 70 cities, excluding state-subsidised housing, dropped 0.67 per cent from May, when they slid 0.71 per cent, the most since October 2014, National Bureau of Statistics figures showed on Monday.

China home prices fall sharply despite latest rescue plan

State-backed Vanke expects to post a first-half loss of seven billion yuan (S$1.3 million) to nine billion yuan.

China Vanke warns of 9 billion yuan loss on country’s housing slump

Contracted sales dropped 73 per cent to 4.3 billion yuan (S$804 million) in June from a year earlier, following a 76 per cent slide in May, a filing by Country Garden showed.

Country Garden’s home sales slump persists as aid fails to help

A growing list of Chinese property developers are facing liquidation lawsuits filed by creditors, including Country Garden.

China developer Sino-Ocean faces winding-up petition in Hong Kong

Hong Kong stock exchange has asked the cash-strapped Country Garden to publish all its outstanding financial results along with any audit modifications.

Country Garden gets trading resumption guidance from Hong Kong exchange

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Many are facing liquidation lawsuits filed by creditors, with the latest being state-backed Sino-Ocean Group. A handful, including sector giant China Evergrande Group, have been ordered to be liquidated so far. REUTERS

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