Cash-Strapped Chinese Developer Sells $1.8 Billion of Assets to State-Owned Rival

What’s new: Cash-strapped private developer China Fortune Land Development Co. Ltd. (600340.SH) announced it is selling 12.4 billion yuan ($1.8 billion) worth of assets to China Resources Land Ltd. to pay back its liabilities, according to a Wednesday exchange filing.

China Fortune Land will transfer its shares and creditor rights in four subsidiaries located in southern China regions to the state-owned property giant. The shares are deemed as having no value and priced at only 4 yuan in total, as three of the four firms booked net losses in the first three quarters of 2022.