Shares of China’s Evergrande Slump After $ 2.6 Billion Asset Sale Fails | Evergrande
Shares in real estate giant China Evergrande have fallen sharply after plans to divest a $ 2.6 billion stake in one of its units failed, raising further questions about whether it can avoid the country's biggest business bankruptcy.On Thursday morning, China Evergrande Group, the parent company of the expanding empire built by former steel industry executive Xu Jiayin, was down 12% in early trading before recovering slightly to -9.8%. Evergrande Property Services, one of its most profitable units, was down 6.45%.Evergrande announced Wednesday that it had formally abandoned plans to sell a 50.1% stake in Evergrande Property Services and said there was "no guarantee" that it would be able to meet its financial obligations to stay afloat.The company, which is the second largest real estat...