“The application is a normal procedure for the offshore debt restructuring and does not involve bankruptcy petition.”
Evergrande lost 476 billion yuan in 2021 and another 105.9 billion in 2022, and its shares have been frozen since March 2022. It filed Chapter 15 in Manhattan to shield its restructuring in Hong Kong, the Caymans and the British Virgin Islands. Then it told everyone the bankruptcy filing is not a bankruptcy. Property makes up as much as 30% of China’s GDP, and Country Garden is already missing bond payments. Calling it a normal procedure is the tell.