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Evergrande Group

Chinese property developer

Evergrande Group, founded in 1996 by Hui Ka Yan, was the second largest property developer in China. It sold apartments mainly to upper- and middle-income residents. The company faced financial collapse in 2021 and filed for bankruptcy in the US in 2023.

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Timeline

Founding of Evergrande by Xu Jiaying

Evergrande, one of China's largest property developers, was established in Guangzhou in 1996 by Chinese billionaire Xu Jiaying.

Evergrande goes public

In 2009, Evergrande becomes a publicly traded company, marking the start of its expansion and diversification into various industries beyond real estate.

Evergrande acquires Guangzhou football club

In 2010, Evergrande acquires the Chinese Super League club Guangzhou, rebranding it as Guangzhou Evergrande, and invests heavily in foreign players, leading to a series of championship victories.

Evergrande acquires New Media Group Holdings and renames it Evergrande Health

In March 2015, Evergrande acquired New Media Group Holdings and renamed it Evergrande Health. Evergrande Health Group operates the 'Evergrande Health Valley' in Nanning, which is a health and wellness park and retirement community.

People's Bank of China Report on Financial Holding Conglomerates

In November 2018, the People's Bank of China identified the company as one of the few financial holding conglomerates that could pose systemic risks to China's financial system.

Beijing's 'Three Red Lines' Policy Announcement

In August 2020, Beijing introduced the 'Three Red Lines' policy, setting limits on debt ratios including debt to cash, net debt to equity, and debt to assets. This policy had significant implications for Evergrande.

Letter from Evergrande to Guangzhou Provincial Government

In September 2020, a letter allegedly from Evergrande to the Guangzhou provincial government surfaced on Chinese social media, revealing Evergrande's financial difficulties and warning of potential cash shortages and systemic risks.

Evergrande terminates Shenzhen backdoor listing plan

In November 2020, Evergrande decided to cancel the Shenzhen backdoor listing plan for most of the property assets of its flagship unit Hengda Real Estate Group.

China's central government instructs Guangdong province to manage Evergrande's debt

On August 12, 2021, China's central government directed authorities in Guangdong province to devise a strategy to handle Evergrande's debt problems.

Evergrande Executives Meeting with Chinese Authorities

The People's Bank of China and China Banking and Insurance Regulatory Commission met with Evergrande senior executives to address the company's debt issues while ensuring stability in property and financial markets.

Social Unrest at Evergrande's Offices

On September 13, reports emerged of social unrest at several of Evergrande's offices in various Chinese cities, including Shenzhen, Nanchang, Zhengzhou, Qingdao, and Chengdu.

Local Governments Take Control of Evergrande's Sales Revenue

On September 22, districts in Guangzhou and Zhuhai in China assumed control of sales revenue from Evergrande's properties to prevent potential mismanagement of funds.

Evergrande Misses First Offshore Bond Interest Payment

On September 23, Evergrande failed to make its initial offshore bond interest payment of $83.5 million, signaling financial distress and heightening concerns about the company's solvency.

CCDI Inspection Teams Focus Statement by Zhao Leji

On September 26, CCDI head Zhao Leji announced that inspection teams will focus on serving the real economy, preventing financial risks, and deepening financial reform in China's financial and property corporate landscape.

Beijing Urges Government-Owned Firms to Purchase Evergrande's Assets

Sources revealed that Beijing was encouraging government-owned firms and state-backed property developers to acquire some of Evergrande's assets. Several government-owned enterprises conducted due diligence on Evergrande assets in Guangzhou.

Evergrande Misses Second Offshore Bond Payment

Evergrande failed to make a second offshore bond payment amounting to $47.5 million.

Suspension of Evergrande Property Services Group's Stock Trading

Evergrande suspended trading of its Property Services Group’s stock in Hong Kong, ahead of a possible general offer for the property group, raising speculation of a split up and sale to private or state-owned buyers.

Evergrande Debt Crisis

Kevin Rudd discussed the financial troubles of Evergrande, a Chinese real estate company with a massive debt of $300 billion. The company has missed two offshore bond payments, raising concerns about a potential default.

Snowballing crisis at Evergrande

The Evergrande Group is facing a worsening crisis that is having a significant impact on the global economy.

Evergrande Reports Massive Losses

On July 17, 2023, Evergrande publicly announced a net loss of 476 billion yuan for 2021 and 105.9 billion yuan for 2022. The group also disclosed total liabilities of 2.43 trillion yuan as of December 31, 2022.

Evergrande Files for Chapter 15 Bankruptcy

On August 17, 2023, Evergrande filed for Chapter 15 bankruptcy protection in the U.S. bankruptcy court in Manhattan to shield itself from creditors.

Evergrande Stock Plunges After Trading Resumes

On August 28, 2023, Evergrande's stock plummeted by 79% to 35 HK cents in Hong Kong after trading resumed following a 17-month suspension.

Hong Kong Court Orders Evergrande Liquidation

On January 29, 2024, a Hong Kong court mandated the liquidation of Evergrande due to the absence of a viable restructuring plan, leading to the halt of trading for various Evergrande stocks.

CSRC Finds Revenue Overstatements by Evergrande

On March 19, 2024, Evergrande disclosed that the China Securities Regulatory Commission (CSRC) discovered revenue overstatements of 214 billion yuan in 2019 and nearly 80% in 2020, resulting in a fine of 4.2 billion yuan for falsifying revenue.

End of the Timeline
Evergrande Group

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