Evergrande Backer Shares Surge More Than 30% as it Proposes Privatization While Creditors Remain Unpaid
10/7/2021- 7:05 a.m.
Evergrande Backer Shares Surge More Than 30% as it Proposes Privatization While Creditors Remain UNPAID (Report)
Chinese Estates Holdings Ltd shares jumped as much as 32% on Thursday after the frmr major shareholder in China Evergrande Group announced an offer to go private for a $245mn price tag. (Reuters)
The Hong Kong developer’s biggest shareholder, the family of Joseph Lau, proposed to take it private this week by offering minority shareholders a 38% premium to its last traded price.
Holders of a dollar bond guaranteed by China Evergrande Group and one of its units are yet to receive repayment on maturity – Jumbo Fortune Enterprises creditors were due money on Monday. Nonpayment of the bond’s principal may constitute a DEFAULT as the note has no grace period. (Bloomberg)
