Beleaguered Chinese property developer Country Garden said on Thursday its unit Gold Ease Global agreed to sell its 1.79 per cent stake in Zhuhai Wanda Commercial Management Group for 3.07 billion yuan (US$428.02 million).
The stake sale comes amid financial constraints that multiple property developers in China have faced in addressing offshore debt risks, while defaulting on overseas bond payments as well.
Country Garden said it will use the net proceeds from the stake sale for its offshore debt restructuring programme.
The company currently has liabilities of around US$190 billion and more than 3,000 projects under development.
It is expected to record an accumulated other comprehensive loss of approximately 160 million yuan, as a result of the disposal. (US$1 = 7.1725 Chinese yuan) - Reuters
