In the latest update, China Evergrande is discussing selling its Hong Kong Wan Chai office headquarters to Yuexiu Property in an attempt to stave off a cash crunch, as per Bloomberg sources. Negotiations are still on with a potential $2bn deal though no decision has been made yet. The office towers were purchased for HKD 12.5bn ($1.6bn) in 2015. Evergrande’s dollar bonds recovered from its morning losses on Friday when Chinese regulators asked the developer to fix its debt issues and not spread false information.
Evergrande’s 8.25% 2022s and 11.5% 2023s are up 3.3 points each to 49.7 and 42.6 respectively. Most of its other bonds are up around 2 points.
