China Evergrande mulls asset transfer to property unit for debt payment

Sept 21 (Reuters) – China Evergrande Group (3333.HK) stated on Wednesday it was contemplating transferring some belongings to its property unit to settle a number of the unit’s debt funds.

In July, the corporate revealed that loans secured by Evergrande Property Services (6666.HK) had been diverted to the mum or dad group, which led to Evergrande Group’s chief government and finance head stepping down. read more

Deposits price 13.4 billion yuan ($1.90 billion) held by the property unit had been used as collateral for pledge ensures and seized by banks.

Evergrande Group, which has about $300 billion in debt, stated in a submitting it was in talks with the unit to muster funds to repay the loans.

Evergrande Group added that it had offered 18.16 billion yuan price of properties from January to August, and it has 706 pre-sold however undelivered development tasks.

($1 = 7.0480 Chinese yuan renminbi)

Reporting by Harshita Swaminathan; Editing by Anil D’Silva and Shounak Dasgupta

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