China's largest private real estate developer, Country Garden, is in financial trouble, missing bond payments and posting a record loss, signaling further concerns about the country's property sector as housing prices and foreclosures continue to rise, while other economic indicators, such as industrial output and retail sales, fall short of expectations; these developments are raising concerns about the overall health of China's economy and its future growth prospects.
Chinese developer Country Garden has delayed the deadline for bondholders to vote on extending payment on a 3.9 billion yuan note by three years.
Shares of Country Garden are expected to increase by 14.8% after selling a minority stake in a mixed development in Guangzhou for 1.3 billion yuan ($178.35 million) and extending a creditor voting deadline to delay repayment for an onshore private bond worth 3.9 billion yuan.
Chinese developer Country Garden reassured investors that its $100 billion project in Malaysia is proceeding as planned and that it has sufficient assets, despite concerns about its financial strength and missed coupon payments. The company's projects in Malaysia are operating normally and its overall operation in the region is "safe and stable," according to a statement from its Singapore and Malaysia unit. Malaysia's central bank also stated that the current situation with Country Garden is not expected to have a material impact on the property market in Malaysia.
China's property crisis has left small businesses and workers owed hundreds of billions of dollars, with suppliers waiting on at least $390 billion in payments, as new projects dry up and financial troubles plague real estate developers like Country Garden.
China's troubled real estate company Country Garden plans to raise funds to avoid default and repay its loans, amid concerns that its liquidity crisis could have a wider impact on China's economy.
China's largest private property developer, Country Garden, has warned of default risks if its financial performance continues to deteriorate, following a record loss in the first half of the year. The company's net loss between January and June amounted to 48.9 billion yuan ($6.72 billion), compared to a net loss of 6.7 billion yuan in the second half of 2022 and a net profit of 612 million yuan in the first half of 2022. This comes as Chinese authorities are working to revive the troubled property market, which accounts for approximately a quarter of the country's economy.
China's property developer, Country Garden Holdings, is facing increased pressure on its property market as it prepares to report earnings for the first half after missing interest payments on its bonds.
China's property developer, Country Garden, has reported a record loss and warned of potential debt default, contributing to concerns about the recovery of the country's economy.
China's largest property developer, Country Garden, is on the brink of default after reporting a huge loss, exacerbating the real estate crisis and posing a risk to the country's fragile economy.
Country Garden, China's largest private developer, has obtained approval from its creditors to extend payments for an onshore private bond, providing relief for the embattled company and the crisis-ridden property sector.
Country Garden Holdings, once a leading player in China's property industry, is facing a severe cash crunch that could have more extensive implications for the economy than the default of Evergrande Group, as its declining stock and bond values threaten to trigger broader damage to the real estate sector and consumer confidence.
Country Garden's deal with creditors for an extension on debt payments has provided temporary relief for the developer and China's struggling property sector, but the success of government stimulus measures in reviving demand and easing the sector's cash squeeze remains uncertain.
China's largest private property developer, Country Garden, made interest payments on its U.S. dollar bonds just hours before the grace period deadline, avoiding default for the second time in four days and providing relief to the crisis-hit property sector.
Embattled developer Country Garden faces a new round of voting by creditors to extend several debt maturities, as it continues to navigate the crisis-hit Chinese property sector and avoid default.
Chinese property stocks and Japanese government bonds set the tone for global markets as the Hang Seng property index dropped to a fresh September low before rebounding on news that Country Garden won creditor support to delay onshore bond payments, while the Bank of Japan's comments about potential stimulus exit in 2023 pushed the local bond market, and the week ahead is marked by important policy meetings by the Bank of England, the Federal Reserve, and the ECB.
China's largest private property developer, Country Garden, has won approval from its creditors to extend repayment on six onshore bonds by three years, providing relief to the country's crisis-hit property sector.
Country Garden's $100 billion Forest City development in Malaysia, which aims to house 700,000 people, is facing scrutiny from creditors as the cash-strapped developer struggles to meet its debt liabilities and generate revenue from the project.
Embattled Chinese developer Country Garden is facing a deadline to pay $15 million in interest on an offshore bond, with concerns growing over its ability to meet its debt obligations amid a struggling property sector and weak property sales in China. If the payment is not made within the 30-day grace period, the principal will become due immediately and trigger cross-default terms on other credit. Some offshore creditors have already begun talks with law firms, indicating a potential debt restructuring.
Chinese property developer Country Garden has received bondholders' approval to extend repayments on one of its local notes.
