China Evergrande unit gets notice for $4.48 bln loan from Shengjing Bank (updated)

Shengjing Bank Co

01/11/2022 15:03

(Adds background)
       Nov 1 (Reuters) - Debt-laden property developer China
Evergrande Group  3333.HK  said on Tuesday its unit received a
notice of enforcement for unrecoverable funds from Shengjing
Bank Co Ltd  2066.HK .
    The bank said it failed to recover funds totalling 32.595
billion yuan ($4.48 billion), which was provided to the unit
from 2020 to 2021, according to Evergrande.
    In early September, state-owned companies of the Chinese
northestern city of Shenyang bought Evergrande's shareholding in
Shengjing Bank in an auction for 7.3 billion yuan.  urn:newsml:reuters.com:*:nL1N30E0EO
    The Evergrande unit's 30.99% stake in Xinjiang Guanghui
Industry Investment Group, which it had pledged to the bank has
now been enforced, the notice said.
    Evergrande, which has about $300 billion in debt, said the
pledged equity interest has not been auctioned or sold to a
third party.
 ($1 = 7.2680 Chinese yuan renminbi)
 (Reporting by Roushni Nair in Bengaluru; Editing by Shounak
Dasgupta)
 ((Roushni.Nair@thomsonreuters.com))