Chinese developer Evergrande files for US bankruptcy protection

[beijingwalker]

I hope CPC doesn't bailout the property developers, 1 thing I hate most is govt bailing out large corporates after they take in billions/trillions of debt and then unable to pay them. Let them fail. From what I hear home owners are protected by Chinese laws, mostly the lenders might be effected.

BTW, the Chinese property market is till too hot, prices should reduce, a lot. I see lot of speculation in Chinese real estate.

View attachment 946958

In most countries people buy a house to live in while in China people tend to buy houses purely as an investment, many Chinese own several houses, there's so much speculation in the Chinese property market and the general public really hates it, it's good that now some have to pay the price for their immoral dealings.
If property market does crash, China's future economic structure will be much healthier.

 

[kuge]

and just a couple of posts ago you were asking "so what if a private company collapses" (paraphrasing). so let me teach you something about your country: there is no such thing as a private company. there is no such thing as a private person. CCP owns you, and yours.

rocket makers like Landspace & Galatic Energy are some examples of private companies...

 

[Menthol]

The solution is in the hand of Chinese central government.

But they won't do it.

Let these companies go bankrupt.

 

[beijingwalker]

The solution is in the hand of Chinese central government.

But they won't do it.

Let these companies go bankrupt.

It's a good opportunity for economic restructuring. in the 1980's China just let all small and medium size money losing state owned facturies and business go bankrupt, it's indeed a extremely painful process but it laid the foundation and paved the road for the future 40 years China's meteoric growth and development.

 

[ProudThamizhan]

I said big companies, especially big banks which give out loans, but still small companies make up over half of China's GDP, you know nothing about China, do you?

View attachment 946977

No, you said private and then a few posts later not private. Just go back and read what you wrote.

If you mistated, just accept it instead of trying to change the topic

rocket makers like Landspace & Galatic Energy are some examples of private companies...

thanks but my point was more specific to the blatant 180' contradiction in what @beijingwalker posted within the same thread. He said private and then when the argument couldn't be defended said no such thing

 

[ARMalik]

Told you fellows long ago that Evergrande is NOT interested in paying anything to overseas Investors !

There was a lot of overseas investments (aka US just printing money out of its arse) in Chinese property and private education systems. Xi didn't like US and others speculating to distort the price of property and education in China. So Xi decided to annihilate these SPECULATORS !

 

[Hamartia Antidote]

Told you fellows long ago that Evergrande is NOT interested in paying anything to overseas Investors !

There was a lot of overseas investments (aka US just printing money out of its arse) in Chinese property and private education systems. Xi didn't like US and others speculating to distort the price of property and education in China. So Xi decided to annihilate these SPECULATORS !

That's not what happened. Evergrand was already on the sh*t list before trading stopped.

Ratings agencies downgrade China Evergrande as concerns over junk bonds rise

China's tech crackdown may have triggered shockwaves across stock markets, but it's real estate that's sparking concerns in Asia's credit markets, BlackRock said.

www.cnbc.com

Ratings agencies downgrade China Evergrande as concerns over junk bonds rise​

Major credit ratings agencies this week downgraded China’s most indebted property developer Evergrande, as concerns over Asia’s junk bond sector rise.

Fitch Ratings on Wednesday downgraded China Evergrande two notches from B to CCC+, saying that the negative developments surrounding Evergrande may weaken investor confidence, further pressuring its liquidity.

A rating of CCC+ means there’s a “real possibility” of a default, from the previous B rating — which means there is material default risk, but a limited margin of safety remains.

The companies that started loading up on the bonds were basically vultures hoping the Chinese government would bail Evergrande out.

Investors Bargain Hunt in Evergrande Bonds Amid Default

Fund managers are betting creditors will recover far more than the debt’s current prices suggest, despite the likelihood of a complex restructuring. The real-estate company has $20 billion of international bonds outstanding.

www.wsj.com

 

[ARMalik]

That's not what happened. Evergrand was already on the sh*t list before trading stopped.

The companies that start loading up on the bonds were basically vultures hoping the Chinese government would bail Evergrand out.

Na that's exactly what happened. Chinese govt deliberately did this, and it will continue on doing this if it has to. The vulture funds are all part of US/Western controlled monetary system.

 

[Hamartia Antidote]

Na that's exactly what happened. Chinese govt deliberately did this, and it will continue on doing this if it has to. The vulture funds are all part of US/Western controlled monetary system.

LOL! Just because the vulture funds were from Western countries doesn't mean the money behind them was from only Western investors. They were likely high-risk investors from around the world.

CCC+ is junk status.

 

[letsrock]

Chinese real estate sector is dominated by these corrupt companies - especially in private sector.

Compare this with relatively well run us home builders. Its unheard of in us that real estate companies will aggressively send sales people to hawk houses as "investment". also it is rare - infact i never heard - of a house builder taking money before the house is ready to move in.

Lot of home buyers in china are corrupt govt officials who invest their bribes in to houses as investment. home builders like evergrande make money through land speculation and getting corrupt or investment money - instead of doing what they are meant to do - build houses for people.

 

[salarsikander]

CCP should consult Pakistan’s experts including Mr.Dar on how to finagle some money out of IMF.
Dar May also give some tips on how to seek help from KSA UAE etc.

Rundians an their obsession with PAKISTAN - the news is not even remotely associated with Pakistan but Monkey faced Rundians cant go a day without saying the name of Land of Gods - RApists Rundians

 

[Mista]

What's the point behind opening this thread?
Even in the most developed countries businesses face bankruptcy for several reasons.
Don't you have bankruptcy in USA?
Or by opening this thread you just got the orgasm.

3 US banks went bankrupt last year, what's so speial for a private real estate company to go bankrupt?

Yeah a company with $300bil debt filing for bankruptcy is not threadworthy.

Meanwhile some Xinjiang girl wearing a Uyghur dress is considered threadworthy. Or some random person 'flirting' with Xinjiang police. Lol.

Do Han people discriminate against ethnic minorities? Xinjiang girl tries wearing Uyghur traditional attire in downtown Nanjing to see the response

Do Han people discriminate against ethnic minorities? Xinjiang girl tries wearing Uyghur traditional attire in downtown Nanjing to see the response

pdf.defence.pk

Content creator tries to flirt with Xinjiang police

Content creator tries to flirt with Xinjiang police

pdf.defence.pk

 

[Hamartia Antidote]

Yeah a company with $300bil debt filing for bankruptcy is not threadworthy.

Meanwhile some Xinjiang girl wearing a Uyghur dress is considered threadworthy. Or some random person 'flirting' with Xinjiang police. Lol.

Do Han people discriminate against ethnic minorities? Xinjiang girl tries wearing Uyghur traditional attire in downtown Nanjing to see the response

Do Han people discriminate against ethnic minorities? Xinjiang girl tries wearing Uyghur traditional attire in downtown Nanjing to see the response

pdf.defence.pk

Content creator tries to flirt with Xinjiang police

Content creator tries to flirt with Xinjiang police

pdf.defence.pk

This is like those people in a group who fervently cheer for "their" team at a sporting event but don't even know the rules of the game.

 

[indushek]

Na that's exactly what happened. Chinese govt deliberately did this, and it will continue on doing this if it has to. The vulture funds are all part of US/Western controlled monetary system.

That's a dangerous game to play, with a sector that is almost 30% of your economy. Not to speak of the dent it will cause, to investor confidence.

 

[ProudThamizhan]

Rundians an their obsession with PAKISTAN - the news is not even remotely associated with Pakistan but Monkey faced Rundians cant go a day without saying the name of Land of Gods - RApists Rundians

This is a Pakistani run Pakistan defence.PK board - If you cannot tolerate mention of Pakistan in this board, you should quit.