Evergrande shares fall 14% as trading resumes
After a 17-day halt on trading, the Chinese property giant Evergrande is once again in major decline. According to reports, real estate company Hopson Development was negotiating buying 51% stake in Evergrande’s property services unit. This deal would’ve costed $2.6 billion, or €2.23. The deal, however, has fallen through, as the companies were not able to agree on the terms of the deal.
Evergrande has a staggering $300 billion in debt, which is around €258 billion. The potential collapse of this company, whose liabilities are equal to around 2% of China’s GDP, can send shockwaves through global markets.