Evergrande Faces Final Chance to Avoid Liquidation by HK Court
- Builder at center of China crisis has court hearing on Monday
- Unclear if a liquidation order would be recognized in China
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Two years after its default marked a key moment in China’s property crisis, the world’s most indebted developer has just hours to avoid another bleak milestone: liquidation.
China Evergrande Group faces a Hong Kong court hearing on Monday over a creditor request to wind up the company, a lawsuit that’s lingered for about 18 months. The developer must convince the judge that it has a concrete debt restructuring plan. Failure to do so will likely mean liquidation, leading to more chaos in its operations and further denting sentiment in the housing market.