Clock Ticks for Evergrande as $7.4 Billion of Bonds Due 2022
- Developer’s dollar notes fell to record lows on default risk
- Cash crunch may intensify if it can’t sell assets smoothly
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The clock is ticking for China Evergrande Group to raise cash and pay back $7.4 billion of bonds coming due next year.
Evergrande’s dollar notes plunged to record lows last week after the developer warned that it risks defaulting on its debt. A measure of the company’s ability to repay short-term borrowings deteriorated in the first half as cash and equivalents plunged to a six-year low, its earnings report showed.