133
submitted 9 months ago by MicroWave@lemmy.world to c/world@lemmy.world

A Hong Kong court has ordered one of China's biggest property developers, Evergrande Group, to liquidate after it was unable to reach a restructuring deal with creditors over hundreds of billions of dollars it owes.

Key points:

  • Evergrande has been ordered to liquidate after failing to come up with a restructuring deal with creditors over US$300 billion in debts owed
  • The liquidator will now attempt to take control of Evergrande assets outside China, but there are fears that could pave the way for other lawsuits
  • It could take years for the offshore liquidator to take control of subsidiaries across mainland China
you are viewing a single comment's thread
view the rest of the comments
[-] maynarkh@feddit.nl 42 points 9 months ago

This Evergrande business has been hanging in the air for years now. I wonder what this news means in practice.

[-] kaitco@lemmy.world 21 points 9 months ago

Same. I feel like I’ve been waiting for this Sword of Damocles to fall for the last decade. Until they actually break up, however, I’m still curious to see the ramifications.

[-] girlfreddy@lemmy.ca 11 points 9 months ago

China should have just ripped the bandaid off years ago.

[-] maynarkh@feddit.nl 8 points 9 months ago

I wonder if ripping it off might have caused a big enough economic problem to threaten the stability of the government.

[-] girlfreddy@lemmy.ca 5 points 9 months ago

They probably weighed what would happen then vs supporting the business for a while. Problem is no one can tell the future, so they got caught.

[-] maynarkh@feddit.nl 4 points 9 months ago

It may be the best case scenario for them still. This could be their "economic soft landing".

this post was submitted on 29 Jan 2024
133 points (95.9% liked)

World News

39005 readers
982 users here now

A community for discussing events around the World

Rules:

Similarly, if you see posts along these lines, do not engage. Report them, block them, and live a happier life than they do. We see too many slapfights that boil down to "Mom! He's bugging me!" and "I'm not touching you!" Going forward, slapfights will result in removed comments and temp bans to cool off.

We ask that the users report any comment or post that violate the rules, to use critical thinking when reading, posting or commenting. Users that post off-topic spam, advocate violence, have multiple comments or posts removed, weaponize reports or violate the code of conduct will be banned.

All posts and comments will be reviewed on a case-by-case basis. This means that some content that violates the rules may be allowed, while other content that does not violate the rules may be removed. The moderators retain the right to remove any content and ban users.


Lemmy World Partners

News !news@lemmy.world

Politics !politics@lemmy.world

World Politics !globalpolitics@lemmy.world


Recommendations

For Firefox users, there is media bias / propaganda / fact check plugin.

https://addons.mozilla.org/en-US/firefox/addon/media-bias-fact-check/

founded 1 year ago
MODERATORS