China Evergrande Files Chapter 15 Bankruptcy in New York

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Evergrande has been working for months to wrap up an offshore debt restructuring but has lacked creditor support to implement the plan. Photo: Bloomberg

(Bloomberg) — China Evergrande Group, the real estate giant whose default two years ago accelerated a broader property debt crisis in the country, sought Chapter 15 bankruptcy protection in New York on Thursday.

The move protects it from creditors in the U.S. while it works on a restructuring deal elsewhere. The Chinese homebuilder’s Chapter 15 petition references restructuring proceedings being carried out in Hong Kong and the Cayman Islands.