Country Garden Holdings Resumes Trading in Hong Kong After Debt Restructuring Pledge
Hong Kong, February 28, 2023 – Country Garden Holdings Co.'s shares surged upon resuming trading in Hong Kong on Tuesday after a nine-month suspension. The Chinese property developer had previously announced plans to finalize a debt restructuring agreement with creditors.
Key Points:
* Shares rose by up to 30% in morning trading.
* The resumption of trading followed the company's fulfillment of exchange requirements.
* The stock remains near its historical low, currently trading around 60 Hong Kong cents.
* JPMorgan Chase & Co. analysts recommend selling shares for profit-taking due to potential speculative activity.
* Country Garden expects to finalize a debt restructuring agreement by the end of February.
* A Hong Kong court has postponed a liquidation petition hearing.
* The company reported a record loss of $25 billion in 2023 due to the ongoing housing crisis.
* Despite an auditor's disclaimer regarding its ability to continue as a going concern, Country Garden claims to have implemented measures to improve its financial situation.