Hui Vows to Deliver Apartments; Coupons Due: Evergrande Update

(Bloomberg) — China Evergrande Group must meet its target of delivering 39,000 units of apartments in December and can resume sales and pay off debt, Hui Ka Yan, the chairman of the cash-strapped developer, said Sunday.

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China’s central bank pledged greater support for the real economy, and reiterated its aim to promote the property sector’s “healthy” growth and protect home buyers’ rights.

Evergrande has coupons on two bonds due Tuesday. The firm was labeled a defaulter for the first time earlier this month. Its shares declined for a fifth week last week, the longest streak since September, and have plunged 90% this year.

Key Developments:

  • Evergrande Vows to Ensure Delivery of 39,000 Apartments in Dec.

  • China’s Central Bank Vows Greater Support for Real Economy

  • Trickle of China Developer Bond Sales Shows Selective Demand

  • Overdue Fees Paid at Evergrande’s Former Hong Kong Project: HK01

  • 2022 Looks Just as Bad for Stock Market: What to Watch in China

Guangzhou Home Sales Worst in Top 4 (10:51 a.m. HK)

Guangzhou’s new home sales fell the most among China’s four first-tier cities in terms of floor space last week, according to Bloomberg calculations based on data from China Real Estate Information Corp. on Dec. 26. Guangzhou sales decreased 142,982 square meters to 164,725.

PBOC Pledges to Support Economy (8:21 a.m. HK)

China’s central bank pledged greater support for the real economy, and said it will make monetary policy more forward-looking and targeted.

There will be more “proactive” use of monetary policy tools, the People’s Bank of China said in a statement on Saturday.

The monetary policy committee held a meeting on Friday that was chaired by Governor Yi Gang. The central bank also reiterated its aim to promote the property sector’s “healthy” growth and protect home buyers’ rights, as well as work to better meet housing demand.

Evergrande Vows Home Deliveries (8:17 a.m. HK)

Evergrande must “sprint at full speed” to meet the target of delivering 39,000 units of apartments in December, chairman Hui Ka Yan said in a meeting held Sunday night, according to a company statement.

More than 80% of decoration partners and long-term material suppliers have resumed cooperation with Evergrande, the company said. Hui said the firm can restart sales and operations and pay off debts as long as it makes every effort to resume projects and deliver to home buyers.

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