China Evergrande Group slumped as much as 87% in Hong Kong trading following a 17-month halt, becoming a penny stock as the country’s most-indebted developer unveiled more losses and delayed meetings with creditors.
The decline to HK$0.35 as of the lunch break on Monday shrank its market value to just HK$4.6 billion ($586 million) from a peak of more than $50 billion in 2017.
The company, which is undergoing a lengthy debt restructuring process, reported a loss attributable to shareholders of 33 billion yuan for the six months ended June 30, according to a filing to the Hong Kong stock exchange Sunday. That adds to more than 582 billion yuan of losses from the previous two years, which were the first on an annual basis since its 2009 listing.
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