Mainland Unit of China Evergrande Faces Liquidation Petition

(Bloomberg) — A China Evergrande Group unit on the Chinese mainland has become the target of a liquidation petition, as creditors step up efforts to recover assets from the fallen property giant.

The petition was filed against Guangzhou Kailong Real Estate by Guangdong Vanward New Electric Co. Ltd. to a court in southern Guangzhou city, according to a Shenzhen stock exchange filing late Wednesday. Fully owned by Evergrande, Kailong has a stake of around 60% in Hengda Real Estate, which is the developer’s main property operation onshore, an exchange filing shows.