BEIJING (Pakistan Point News / Sputnik - 21st March, 2022) Trading in the shares of China's major property developer, Evergrande Group, was suspended on the Hong Kong stock exchange on Monday.
According to a notice to the stock exchange, trading in Evergrande shares (stock code 03333) is being suspended starting 9:00 a.m. on March 21, 2022 and all structured products relating to the company will also be halted from trading at the same time.
No specific reason was given for the decision.
The suspension is the second one this year and comes ahead of the Wednesday $2 billion repayment obligation.
Last year, Evergrande was on the brink of default after years of growth and active borrowing. Declining sales, a high-risk business model, and Beijing's actions to curb the boom in the Chinese housing market brought the company into crisis with its shares plunging over 80 percent. At the end of June, 2021, Evergrande owed $304 billion.
