Great Britain

Relief for markets as China’s Evergrande agrees payment to avoid default on key domestic bond

China’s indebted real estate giant Evergrande has said that it will make a coupon payment on its domestic bonds on Thursday, in a major relief to Asian and global markets that have been jittery over the anticipation of China’s second-biggest developer defaulting on its due interest.

The Evergrande group’s main unit, earlier known as Hengda Real Estate Group, said in a statement on Wednesday it would make the coupon payment on its Shenzhen-traded 5.8 per cent September 2025 bond on time on 23 September.

The announcement came after markets globally have been tense in anticipation of a possible default by the cash strapped company which was once the country’s top-selling developer, fearing a domino effect from its collapse.

The assurance of payment is set to provide some relief to investors, however, the world’s most indebted real estate developer still has a debt of $300bn (£217bn).

Hengda Real Estate’s coupon payment totals $35.88m (£2.62m), according to Refinitiv data.

More follows

Football news:

Juventus players are called humpbacks. Perhaps Benito Mussolini Stadium is to blame
Infantino about the World Cup every two years, but with different teams: We need to think about it. It is necessary to expand the list of participants
FIFA will discuss calendar reforms and the World Cup every 2 years at a summit on December 20
Ceferin - Infantino about the World Cup every 2 years: The consequences can be terrifying. This is harmful for clubs and leagues, but they do not have the right to vote
Newcastle gives Dembele a salary of 15 million euros a year and a signing bonus of 15 million. Barcelona will not repeat this offer
Gianni Infantino: The enemies of football are not FIFA or the World Cup, but other youth activities. It is necessary to understand how to regain her Interest in the game
The last season when Barcelona did not get out of the group in the Champions League: a very strange coach, primal Rivaldo and crazy 3:3 with Milan