Property developer China Evergrande shares jump on unit's fundraising plan

Reuters

Debt-laden property developer China Evergrande jumped more than 8% on Monday after its electric vehicles unit said it would raise $3.4 billion by bringing in six new investors, a move that analysts said could ease the group’s financing woes.

Investors have been concerned about cashflow at Evergrande as the country’s most indebted property developer with interest-bearing indebtedness of about $110 billion at the end of last year scrambles to raise funds and cut debt in the face of tighter industry regulations.

Bring stories like this into your inbox every day.

Sign up for our newsletter - The Daily Brief
Subscribe to Newsletter