Evergrande looks to sell $5 billion stake: Will it be enough? | DW News

Troubled Chinese developer Evergrande is exploring a sale of its property-management firm as part of a desperate-bid to sell-off assets and raise much-needed cash. The firm owes more than 300 billion dollars in unpaid bills. Beijing is worried about domestic unrest; Foreign investors could be left empty-handed.There's a complete standstill on Evergrande's construction sites.. workers have long left long, many unsure if and how much they get paid for their work. But there might be an end in sight for the real estate developer's crisis that has shaken investors' confidence for weeks.

Evergrande is selling a majority-stake in its property management unit for more than 5 billion dollars, bringing in much needed cash to carry on.

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[martinivers]

Well, my elementary school math tells me that 5B is smaller than 300B.

[JustAnNPC]

Seriously tho. What do Foreign Investors expect when they're dealing with a shady secretive CCP? A Candy that says congratulations?

[markgarin]

$5 bil isn't going to even start to fix their problems....

[damien]

They're working hard polishing a *turd* to offer investors...

[victhormc]

Burning the furniture to heat the house.

[unknownuser]

“Foreign Investors”. Take that on board. When you invest in China you take on most of the risks. Not the Chinese

[flaminmongrel]

will 5 billions pay off a debt of 360 billions? um no.

[jaysdood]

Firstly Beijing have already said that any liquidation of assets will go towards domestic creditors with a focus on home purchasers. Therefore, this will not even allow them to make their coupon payments let alone the principal. If foreign investors look at this and still want to invest in China then they get what they deserve.

[Thadeus]

Oh well, the bubble explodes eventually...

[Starkada]

Anyone that wants to invest in their five billion dollar "opportunity" would be a complete fool

[DwnRace]

Yikes not sure how safe those condos would be after completion…..

[vinjmc]

The China local market is still issuing bonds but anyone buying their bonds is screwed. Besides this crisis caused a huge panic in the US market couple of weeks ago, massive selloffs. It's far too easy for investors to lose perspective. Whenever something big goes wrong, a lot of people panic and hold on to money that should be working for them. Having monitored my portfolio performance return huge six figures from the last 2 quarters, I have learned the market will remain a money den for those who know where to look.

[MrMandaihill]

5 billion is the minimum payment like when u pay ur credit card bills

[johnrose]

Evergrande is a joke. Looking forward to it going bankrupt

[julonkrutor]

So mostly overseas investors will be hurt...I can see nothing going wrong with that approach.

...

Maybe other investors start pulling there money out of China. Maybe the smart ones allready started.

[scoria]

He says, "Ask the local government to provide enough money for the Evergrande Group to complete the projects on hand." Completing Tofu-dreg projects is mismanagement.

[F-I]

is that enough at least for utility bills? carry on?!?! to prolong the agony?!

[smacdiesel]

That 5 billion is going to save Evergrande. What a great plan!

[LordTrayus]

Why are they still building? Why not just wait until their properties are bought or leased?

[hujintao]

My dear people, China and the ccp is spiralling out of control. We have power crisis, population crisis, economic instability. It is time to run, save yourselves, your children, your family. For me, I am booking a ticket to Seoul, President Moon, oppa, please accept me.