Heavily indebted Evergrande is on track to face a record number of legal challenges in Chinese courts this year, reports the FT. An increasing amount of disputes with contractors is piling pressure on the struggling developer’s attempts to reduce its more than $100 billion in debts.
Figures from Tianyancha, a data provider, showed that Evergrande has been involved in 427 legal cases this year, compared with 436 over the whole of 2020. In the past week, 18 cases have arisen–more than the developer’s total in 2014.
Shares in the group, whose chair Hui Ka Yan was once China’s richest man, have plunged 64% this year as Beijing has tightened restrictions on leverage in the property market.
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