Crash in Shimao Bonds Stokes Contagion Fear, Bailout Speculation

Developer had been seen as one of the sector’s healthier firms
Shimao collapse would be ‘far worse’ than Evergrande: Lombard

Shares of Chinese property developers are trading around a five-year low amid concerns over Shimao Group Holdings Ltd.’s ability to meet its debt obligations. Still, Shimao says there are no issues. Rebecca Choong Wilkins reports on “BloombergDaybreak: Asia.”

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By Bloomberg News

December 15, 2021 at 7:20 AM UTC

This article is for subscribers only.

Its balance sheet is less than a third the size of China Evergrande Group’s and it doesn’t even crack the top 10 list of Chinese property companies by sales.

But for many investors, Shimao Group Holdings Ltd. has suddenly become the single biggest worry in a Chinese real estate sector with no shortage of things to worry about.