Evergrande looks to avert default | Financial

Two investors who own two of the bonds confirmed that they have received the payments. They reported that to Bloomberg news agency on the basis of anonymity because they were not authorized to speak in public.

Investors waited to see if the discredited developer would make interest payments totaling $148.1 million before the end of the 30-day grace period on Wednesday. Evergrande missed the first payment terms last month. It concerns three loans with maturity dates 2022, 2023 and 2024.

The real estate giant was on the brink of default in October. But the company managed to prevent this. The fact that money has still been transferred does not mean that the crisis at the largest issuer of junk bonds in Asia is over, given the debt mountain of the group. A number of other developers have also run into problems. The problems have even spread to other parts of the credit market.

On Monday, two holders of other Evergrande bonds said they had not yet received payment for loans officially due on Saturday. Again, a grace period of 30 days applies before a missed payment is considered a default.

Evergrande has not yet responded to a request for comment. Chinese authorities are trying to mitigate the effects of the wider crisis on the real estate market. Nevertheless, concerns remain. The German creditor DMSA (Deutsche MarktScreening Agentur) previously reported that Evergrande wants to declare bankruptcy. DMSA is a German market researcher who owns Evergrande bonds. It also calls on other involved investors to join the application.

—