Evergrande founder pledges Hong Kong luxury house for bank loans
Published: Oct 28, 2021 02:38 PM
Evergrande Group Photo: CFP

Evergrande Group Photo: CFP

A luxury house in Hong Kong belonging to Xu Jiayin, or Hui Ka Yan, founder of the heavily indeted China Evergrande Group, was put up for loan collateral, which was requested by the company's creditors, media reports said. 

Chinese financial news reported on Wednesday that the property was pledged to the local Hong Kong branch of China Construction Bank, citing documents from the city's Land Registry. The luxury property's estimated value is HK$700 million ($90 million).

The property was reportedly pledged under pressure from Evergrande's creditors, as they requested additional security for the company's private equity financing, with the property giant struggling to repay debts amounting to more than $300 billion. 

Bloomberg reported on Wednesday that the relevant Chinese authorities have urged Xu Jiayin to tap his personal wealth to help resolve the company's escalating debt crisis. 

Xu remains one of the top 100 richest persons in the country. 

Global Times