Evergrande shares tumbled as much as 87% on the Hong Kong Stock Exchange on Monday, to as low as 22 Hong Kong cents.

China Evergrande Group last traded on the Hong Kong exchange on March 18, 2022 at 1.65 Hong Kong dollars ($0.13) per share, before being suspended on March 21.

The company also posted a loss of 39.25 billion yuan ($5.38 billion) for the six months ended June, with total liabilities of 2.39 trillion yuan.

  • nomecks@lemmy.worldEnglish
    592·
    1 year ago

    Take deposits for housing and use it to solicit more deposits for housing, without actually building any useable housing.

    • Cheers@sh.itjust.worksEnglish
      8·
      1 year ago

      Just to add, they did start building, but they just started building as construction costs were increasing, so they ended up negative on all of their construction costs.

      Construction companies famously tore down fully built buildings because evergrande couldn’t afford them…

      • nomecks@lemmy.worldEnglish
        31·
        1 year ago

        They built a pile of tofu dreg buildings that’ll all fall down inside of ten years.