More Chinese Developers Are About to Be Kicked Off Stock Markets

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The property industry is still in a dire state even as the government has ramped up support to encourage funding and demand since last year

(Bloomberg) — A dozen Chinese property developers face the risk of delisting from stock exchanges, which would slam the door on an important funding channel for the beleaguered industry.

As of June 1, shares of 10 developers closed below 1 yuan ($0.14) in recent sessions, according to BOC International China Co. analysts including Xia Yifeng. Mainland exchanges stipulate that stocks get the boot if they close below that threshold for 20 consecutive sessions. Two more are struggling to avoid breaching that line, the broker says.