China Economic Review

Frozen units leave Kaisa out in the cold as creditors apply to preserve assets

Civil courts have ruled on 28 of 70 applications made by creditors of struggling mainland developer Kaisa to preserve the company’s assets, with concerned onshore loans totaling RMB14.83 billion (US$2.396 billion), South China Morning Post reported. While a stock exchange announcement from the company on Thursday said authorities in Shenzhen had lifted a sales ban on units there, the firm also said some units were still not allowed to be sold due to freezing orders imposed by mainland courts without giving further details. The property developer is still trying to restructure US$7.6 billion of debt as it tries to avoid becoming China’s third-ever debt defaulter.