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An aerial view of construction sites and new residential developments in the Nanchuan area of Xining, Qinghai province, China.
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Evergrande shares jump after trading resumes
Just last week, the Chinese property firm announced that its director and executive chairman is under scrutiny over suspected crimes. Hui Ka Yan was “subject to mandatory measures in accordance with the law due to suspicion of illegal crimes,” Evergrande stated Thursday.
“The Board is of the view that there is currently no other inside information in relation to the Company that needs to be disclosed,” the company said in a more recent statement late Monday.
Evergrande’s rebound contrasts against the wider Hang Seng Index, which saw a 3% plunge during trading hours, weighed down by other real estate stocks.
Other Hong Kong listed property stocks were firmly in the red. Country Garden Holdings plunged 7.67%, while Longfor Group Holdings lost 4.82%. New World Development shed 6.69%, and Henderson Land Development traded 6.15% lower. China’s property market has faced faltering consumer confidence, with Evergrande and Country Garden steeped in debt problems.
