Evergrande shares plunge as much as 87% as trading resumes after 17 months

Shares of the world's astir indebted spot developer China Evergrande Group plunged arsenic overmuch arsenic 87% connected its unfastened connected Monday, trading for the archetypal clip since March 21, 2022.

Shares fell to arsenic debased arsenic 22 Hong Kong cents connected Monday, compared to its past adjacent astatine 1.65 Hong Kong dollars per stock connected March 18, 2022.

The resumption of commercialized comes arsenic the institution posted a nonaccomplishment of 39.25 cardinal yuan ($5.38 billion) for the six months ended June, a smaller nonaccomplishment compared to the 86.17 cardinal yuan nonaccomplishment the aforesaid play a twelvemonth ago.

Revenue came successful astatine 128.81 cardinal yuan, rising from 89.28 cardinal yuan successful June 2022.

In July, the beleaguered institution filed for Chapter 15 bankruptcy extortion successful a U.S. court, which protects its U.S. assets from creditors portion it works connected a restructuring woody elsewhere.

In its filing to the Hong Kong exchange, Evergrande revealed it had full liabilities of 2.39 trillion yuan arsenic of June this year, somewhat little than the 2.44 trillion yuan successful the six months ended June 30, 2022.

As of June, Evergrande had full assets of 1.74 trillion yuan, including full cash, currency equivalents and restricted currency of 13.4 cardinal yuan.

Evergrande defaulted successful 2021 and announced an offshore indebtedness restructuring program successful March, having struggled to decorativeness projects and repay suppliers and lenders.

Earlier this year, the institution posted a combined loss of $81 cardinal successful its agelong overdue net report.

Net losses for 2021 and 2022 were 476 cardinal yuan and 105.9 cardinal yuan, respectively, arsenic a effect of writedowns of properties, instrumentality of lands, losses connected fiscal assets and financing costs, the institution said.

In 2020, earlier the institution went into default, Evergrande posted a nett net of 8.1 cardinal yuan.