China property developer Aoyuan jumps after it estimates H1 profit

China Aoyuan

15/08/2024 07:35

** Shares in Chinese property developer Aoyuan Group
 3883.HK  rise as much as 31% to one-month high
    ** Aoyuan is the fourth best performer at the Hong Kong
Stock Exchange
    ** Company says it expects to record a net profit of 21-23
billion yuan ($2.9-3.2 billion) in H1, vs 2.9 billion yuan net
loss a year ago, due to restructuring gains from the completion
of its offshore debt restructuring
    * Excluding the restructuring gains, however, it expects to
post a loss during the period due to a drop in property sales
and rise in financing costs
    ** Shares of another developer which has completed offshore
debt restructuring, Zhongliang Holdings  2772.HK , also surge
27% in early afternoon trades before retreating to negative
territory 
    ** Hang Seng Mainland Properties Index  .HSMPI  eases 0.4%
    ** Most Hong Kong-listed Chinese property developers have
defaulted on their offshore debt since 2021 amid a debt crisis
in the sector but only a handful have completed a debt
restructuring

($1 = 7.1551 Chinese yuan renminbi)

 (Reporting by Clare Jim)
 ((clare.jim@tr.com))