• Focus News EU is an independent media based in Europe
  • providing the world's latest news, the definitive source for independent journalism from every corner of the globe.

China Evergrande Shares, Bonds Suffer Sell-Off on Cash-Crunch Concern

Business alex 1months ago (09-26) 14Views

Trump Plan to Designate Antifa, KKK as ‘Terrorist Organizations’

President Donald Trump is slated to announce a measure that designates far-left movement Antifa and the Ku Klux Klan (KKK) as terrorist organizations, calling for lynching to be made a federal hate crime. According to a copy of Trump’s speech, he will provide details about his plan for Black America, including a pledge to access capital in black communities by about $500 billion. The move is likely an attempt for Trump to further try and peel away black voters’ support from Democratic nominee Joe Biden. “For decades, Democrat politicians like Joe Biden have taken black voters for granted. They made you big promises before every election—and then the moment they got to Washington, they abandoned you and sold you out,” said a copy of Trump’s speech, reported Fox News. “The…

China Evergrande Shares, Bonds Suffer Sell-Off on Cash-Crunch Concern

HONG KONG—Investors sold off China Evergrande Group shares and bonds on Friday after a leaked document allegedly showed the nation’s second-biggest property developer by sales sought government help to avert a cash crunch.

The document showed Evergrande asked a local government to support a Shenzhen backdoor listing plan before Jan. 31 or else it would need to repay over $19 billion raised for the listing, which would weigh on its cash flow.

Evergrande late on Thursday said the document which had been circulating online was a fabrication and amounted to defamation, and it has reported the matter to the public securities authority.

Analysts including those at S&P Global Ratings have said they do not expect a liquidity crunch as the firm has various fund-raising channels, including as much as $117 billion in sales this year, domestic bond issuance, and spin-off plans.

China Evergrande Shares, Bonds Suffer Sell-Off on Cash-Crunch Concern An exterior view of China Evergrande Centre in Hong Kong, China, on March 26, 2018. (Bobby Yip/Reuters)

On Friday, at least two onshore bonds issued by Evergrande Real Estate Group were suspended from trade after their prices fell as much as 30 percent.

China Evergrande’s Hong Kong-listed shares sank as much as 8.8 percent to a near five-month low. Subsidiaries Evergrande New Energy Vehicle Group Ltd and HengTen Networks Group Ltd tumbled 14 percent and 20 percent respectively.

The developer is under pressure to de-leverage as China’s government tackles what it considers excessive borrowing in the real estate development sector with new debt ratio caps.

Evergrande’s borrowings totaled 835.5 billion renminbi at June-end, of which onshore trust loans and bank lending made up 41 percent and 29 percent respectively.

Credit-rating firm S&P downgraded its outlook for Evergrande to negative from stable, citing surging short-term debt partly due to active acquisitions of property projects in the first half of the year.

S&P also said it expected some of the strategic investors in the backdoor listing would not agree to extending the plan beyond Jan. 31, and that if half redeem their investments, Evergrande’s sources of liquidity would cover only slightly over 80 percent of its liquidity use.

Raymond Cheng, CGS-CIMB Securities’ head of China research, said Evergrande would likely try to renegotiate to extend the deadline for another year, as it did last year.

By Clare Jim

Focus News: China Evergrande Shares, Bonds Suffer Sell-Off on Cash-Crunch Concern

NYPD Spying Case a ‘Wake-Up Call’ About Chinese Infiltration in US, Local Tibetans Say

NEW YORK—The arrest of an NYPD officer for allegedly spying on local Tibetans for Beijing should serve as a “wake-up call” for U.S. officials about the depth of Chinese espionage in the country, local Tibetan activists said. Baimadajie Angwang, an ethnic Tibetan and naturalized U.S. citizen, had worked at the NYPD’s 111th Precinct in Queens, and is also an Army reservist holding a “secret” security clearance. The 33-year-old was arrested on Sept. 19 on four charges, including acting as an illegal Chinese agent, and faces up to 55 years prison if convicted. Angwang’s arrest was hardly a surprise to the ethnic Tibetans in New York City who had prior contact with him. The Tibetan Community of New York and New Jersey (TCNYNJ), a New York-based nonprofit established in 1979, said…


The article is from the Internet, and the content does not represent the position of this website.丨This website usesBY-NC-SAagreement for authorization
please indicate the link for reprint:China Evergrande Shares, Bonds Suffer Sell-Off on Cash-Crunch Concern
Likes (0)