Experts are making increasingly grim predictions about the developer’s ability to hold on without a government bailout, and the consequences of a possible collapse.
Angry home buyers are waiting on as many as 1.6 million apartments. Suppliers that sold cement, paint, rebar and copper pipes are owed more than $100 billion in payments. Employees who were strong-armed into lending are panicking now that the company cannot repay them on time.
China’s Evergrande Group, the embattled property developer whose towering debt has set off panic in global markets, is buckling under the weight of more than $300 billion in debt. The company’s billionaire chairman told employees on Tuesday that they would “walk out of darkness as soon as possible.”
But the question for many is whether the company can stumble out of its current crisis on its own without being led by Beijing. And experts are making increasingly grim predictions about Evergrande’s ability to