Evergrande Stock ImageEuropa Press
Real estate developer China Evergrande Group has filed for Chapter 15 bankruptcy protection in New York (United States) this Thursday, according to court documents accessed by the Bloomberg news agency.
Precisely, this Chapter 15 protects the company’s assets in the United States, while restructuring agreements are managed in other jurisdictions. International debt restructuring agreements sometimes require a filing of a Chapter 15 case in the course of completing a transaction.
Thus, Evergrande’s petition refers to the restructuring procedures that are being carried out in Hong Kong and the Cayman Islands.
According to the Bloomberg agency, the Chinese construction company has been working for months to finalize a debt restructuring plan outside its country. In July it received court approval to vote on the deal and meetings are scheduled to take place later this month.
The economic situation in China worries international analysts and investors after two years in which it seemed that they were taking flight after the pandemic. But in recent days we have seen how, for example, the country led by the Chinese Communist Party announced that it will not release, among other things, unemployment data.