Evergrande misses payment deadline, EV unit warns of cash crunch
SINGAPORE/SHANGHAI (Reuters) -China Evergrande’s electric car unit warned on Friday it faced an uncertain future unless it got a swift injection of cash, the clearest sign yet that the property developer’s liquidity crisis is worsening in other parts of its business.
Evergrande owes $305 billion, has run short of cash and investors are worried a collapse could pose systemic risks https://www.reuters.com/article/china-evergrande-debt-explainer-idCAKBN2GC09I to China’s financial system and reverberate around the world.
The company missed a payment deadline on a dollar bond this week and its silence on the matter has left global investors wondering if they will have to swallow large losses when a 30-day grace period ends.
