HONG KONG (Reuters) – Shares of embattled China Evergrande Group were set to slide 7.1% on Monday after the world’s most indebted developer said there was no guarantee it would have enough funds to meet debt repayments, fuelling concerns of a default.
After Evergrande’s statement late on Friday, the Guangdong provincial government said it would send a working group to the developer at its request to oversee risk management, strengthen internal controls and maintain normal operations.
Evergrande failed to pay coupons totalling $82.5 million due on Nov. 6 and investors are on tenterhooks to see if it can meet its obligations before a 30-day grace period ends on Dec 6.
(Reporting by Clare Jim; Editing by Anne Marie Roantree and)
