© Reuters. FILE PHOTO: The corporate emblem is seen on the headquarters of China Evergrande Group in Shenzhen, Guangdong province, China September 26, 2021. REUTERS/Aly Track/File Photograph
HONG KONG (Reuters) -A lawyer for embattled property developer China Evergrande (HK:) Group on Monday sought an adjournment of a Hong Kong court docket’s listening to of a liquidation petition, saying no collectors had been “actively seeking” a winding up.
Evergrande, the world’s most indebted property developer with greater than $300 billion of complete liabilities, defaulted on its offshore debt in late 2021 and have become the poster little one of a debt disaster that has since engulfed China’s property sector.
The liquidation listening to resumed within the Hong Kong court docket on Monday amid uncertainty about whether or not the developer would be capable of submit a “concrete” debt restructuring proposal, as ordered by the court docket in October.
Evergrande final week scrambled to place collectively a revised restructuring plan.
The Evergrande lawyer advised the court docket the developer anticipated to “refine” its restructuring proposal within the subsequent 5 weeks if the adjournment was granted. The choose requested Evergrande to carry direct dialogue with “relevant authorities” on the revamped phrases.
Liquidation of Evergrande, which listed $240 billion in property as at June-end, would pile extra strain on the already reeling property sector, which accounts for 1 / 4 of the world’s second-largest economic system.
Evergrande’s debt woes have been a serious concern for world traders at a time when the economic system has struggled to mount a robust post-pandemic restoration, with property gross sales slowing and lots of of 1000’s of properties left unfinished throughout the nation.
Authorities have introduced a string of measures to revive the property sector, destabilised in the previous few years by the debt woes of giants like Evergrande and Nation Backyard.
