Country Garden was petitioned by creditors for liquidation, involving an outstanding loan of HK$ 1.6 billion.

On February 28,Country GardenAn inside story was announced on the Hong Kong Stock Exchange, that is, Ever Credit Limited Company filed a lawsuit against the Hong Kong High Court yesterday (February 27th).Country GardenThe liquidation petition. The contents of the petition are related to the petitioner (lender) andCountry GardenUnpaid term loans with principal of about HK$ 1.6 billion and accrued interest between (borrowers).

According to section 182 of the winding-up ordinance, ifCountry GardenThe final liquidation by petition is made on or after the commencement date without the approval order of the High Court.Country GardenThe transfer of shares will be invalid.

In this regard,Country GardenIt is said that the company will strongly oppose the petition. The submission of the petition does not mean that the petitioner can successfully liquidate the company. On the date of the announcement, the Hong Kong High Court did not issue a liquidation order to liquidate it. The company will seek legal advice and take all necessary actions to actively and properly defend it with the consulting team.

According to the announcement, the Hong Kong High Court has set May 17, 2024 as the date for the first hearing of the petition.

Affected by this message,Country GardenOn the 28th, the Hong Kong stock market opened sharply, and once fell more than 12% in intraday trading. As of midday, its share price fell to HK$ 0.63 per share, with a market value of HK$ 17.633 billion.

According to the inquiry, Ever Credit Limited (Forever Credit Limited) was established in 2009, and it is a Hong Kong company that has obtained a money lender license under the Money Lenders Ordinance (Chapter 163 of the Laws of Hong Kong). Its parent company is Jiantao Group.

Jiantao Group is an investment holding company mainly engaged in manufacturing and selling copper-clad panels.Country GardenOne of the shareholders of.

According to the announcement issued by the group in August 2023, Ever Credit Limited worked with it on December 1, 2021.Country GardenA financing agreement was concluded and a term loan of HK$ 1.88 billion was lent. At that time, both parties agreed to repay the loan by installments.

“Country GardenThe debt amount of the Jiantao Group involved is very low in the overall interest-bearing liabilities abroad, and the radical action of a single creditor will not have a significant impact on the company’s security, normal operation and overall restructuring of overseas debts. "Country GardenAspect to interface news representation.

Insiders pointed out that,The petition for liquidation is the right of every creditor, and any creditor can apply for it, but the application does not mean that it will be liquidated.Referring to other cases of listed real estate enterprises in default in the industry, it is more common for individual creditors to apply to the Hong Kong court for company liquidation.

Since the liquidity crisis appeared in August last year,Country GardenA series of measures, such as salary reduction for senior executives, reducing administrative expenses and selling back domestic bonds, have been implemented to "save themselves" to alleviate the liquidity pressure at this stage.

In terms of debt handling, as of now,Country GardenNine domestic bond extensions have been completed, involving a total principal of about 14.7 billion yuan, and the maturity has been extended by three years as a whole. This isCountry GardenIn a short period of time, it eased some debt pressure.

In terms of overseas debt,Country GardenAt present, there are 15 public dollar bonds with a principal of about 9.3 billion US dollars. Last October,Country GardenAccording to the company, the company has started the restructuring of overseas debts, and hired CICC and Hualian Nuoji (China) as financial consultants to help assess the company’s capital structure and liquidity and formulate overall solutions.

In addition to the debt crisis, it is currentlyCountry GardenGenerally speaking, it is still more important to ensure delivery and operation.

according toCountry GardenThe latest disclosure in January, January-December 2023,Country GardenMore than 600,000 houses have been delivered, with a total delivery area of 71.62 million square meters, involving 249 cities in 31 provinces.

By 2024,Country GardenThe estimated delivery volume of will exceed 480,000 sets, according toCountry GardenYang Huiyan, Chairman of the Board of Directors, said earlier that,Country GardenThe delivery challenge of has entered the "deep water area" this year.

With the gradual landing of the "white list" of real estate projects and the continuous optimization of real estate financing policies,Country GardenofThe financing situation also ushered in a new situation.

according toCountry GardenInsiders recently revealed that at presentCountry GardenThere are 135 projects approved to enter the "white list", and these shortlisted "white list" projects will receive financing support, which will help alleviate.Country GardenAt present, the financial pressure is pushing forward the guarantee of delivery, asset revitalization, and improving the sustainable operation ability of the project.