Defaults loom over more property developers as China reassures investors on Evergrande
The fallout in China’s property sector is showing no signs of abating, as more developers face the threat of default — even as uncertainty over the fate of heavily indebted Evergrande looms.
All eyes will be on Chinese real estate developer Sinic Holdings, which warned last week that it’s not likely to repay offshore bonds worth $250 million due on Monday. There was still no word from the developer as of noon. CNBC has reached out to the company.
On Friday, another developer, China Properties Group, said it had defaulted on $226 million worth of notes, as it had failed to secure funds by the Oct. 15 maturity date.
They were not the first — Fantasia Holdings had failed to make a bond payment worth $206 million in early October.
Last week, ratings agencies issued a fresh round of downgrades for Chinese real estate companies.
Reference: CNBC
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