A lender has seized China Evergrande’s headquarters in Hong Kong after the hugely indebted developer defaulted on a loan and was unable to sell the 26-storey tower, according to a report by the Financial Times, which quoted four sources but noted that the identity of the lender has yet to be confirmed.
Evergrande was informed early this week that the lender “had appointed a receiver to take charge of the property that is valued at $1.2 billion and force a sale”, the report said, adding that Evergrande has pledged the building in exchange for loans from a group of lenders led by China Citic Bank International, which is a Hong Kong unit of the state-owned bank.
Read the full report: The FT.
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