Evergrande’s lenders have appointed a receiver to seize the developer’s Hong Kong headquarters, as per sources. Details of the receiver have not been revealed yet. The distressed property developer has been trying to sell its China Evergrande Centre building in Hong Kong ever since a $1.7bn asset disposal deal of the building fell through in late-2021. Again in July 2022, Evergrande had put the building up for sale in the market attracting three bidders including CK Asset Holdings. However, sources said that all three bidders had offered less than HK$10bn ($1.27bn), which was too low for Evergrande to accept. Proceeds from the sale of the asset were expected to be used for its offshore debt restructuring efforts, details of which have not emerged yet. In the past, the building had also been pledged for a loan by lenders led by China Citic Bank International.
Evergrande’s dollar bonds are trading at deeply distressed levels of 5-7 cents on the dollar.
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