Debt-burdened property developer China Evergrande Group stated on November 1 that its unit got a notice of enforcement for unrecoverable funds from Shengjing Bank Co Ltd.
The bank insisted that it failed to recover funds reaching around 32.595 billion yuan ($4.48 billion), which was given to the unit from 2020 to 2021, based on Evergrande.
In early September, state-owned firms in the Chinese northeastern city of Shenyang acquired Evergrande’s shareholding in Shengjing Bank in an auction for 7.3 billion yuan.
The Evergrande unit’s 30.99% stake in Xinjiang Guanghui Industry Investment Group, which it had already pledged to the bank has now been enforced, the official notice said.
Buy Bitcoin NowEvergrande, which has nearly $300 billion in debt, highlighted that the pledged equity interest is yet to be auctioned or sold to a third party.
($1 = 7.2680 Chinese yuan renminbi)
