Evergrande Investor Leans Toward Seeking $3 Billion Payment
- Shandong Hi-Speed hasn’t waived its right to being repaid
- Local group is biggest strategic investor at 23 billion yuan
The China Evergrande Group logo is displayed in front of the China Evergrande Centre in Hong Kong.
Photographer: Chan Long Hei/BloombergChina Evergrande Group’s largest strategic investor is leaning toward demanding repayment of the $3.4 billion it’s sunk into the embattled developer, according to people familiar with matter, adding pressure on the company as it races to cut its massive debt load.
Investors linked to Shandong Hi-Speed Group, a state-owned conglomerate based in northeastern Jinan, can demand to be repaid if Evergrande fails to get a long-delayed backdoor listing of its main real estate assets in China by Jan. 31. Negotiations to waive those rights are ongoing, though Shandong Hi-Speed is keen to recoup the money, the people said, asking not to be named discussing private deliberations. A final decision hasn’t been made.