Evergrande: Share trading stops ahead of major announcement
Shares of the embattled Chinese developer Evergrande were suspended on the Hong Kong stock exchange early Monday amidst heightened speculation about a potential sale.
“Due to the suspension of trading in the underlying shares, trading in Futures & Options for China Evergrande Group (EVG) have been suspended until further notice,” the Hong Kong Stock Exchange said in a statement, without listing a reason.
This is the first time that the shares of the company, once China’s top-selling developer, have been suspended.
Evergrande is currently the world’s most indebted real estate group with debts surmounting $300 billion (€258.7 billion). It could face one of China’s largest-ever restructurings.
The latest development comes as a Chinese financial news service, Cailian, said Evergrande’s property management unit may be taken over by another major developer.