Shanghai, China, Aug 28 (EFE).- Shares of indebted Chinese real estate giant Evergrande opened Monday with losses of 86.7 percent after reactivating its listing on the Hong Kong Stock Exchange, suspended since March 2022.
Each title fell to about HKD0.22 ($0.03) at the opening of the session, moderating its decline to 80 percent around 10:00 local time (02:00 GMT).
Evergrande, which had already lost more than 90 percent of its market value when it suspended trading of its shares in March 2022, could have faced being expelled from the stock market if it exceeded 18 months in this situation.
On its last day of trading until Monday, its titles closed at HKD1.65, far from the peak of HKD31.55 it registered in October 2017.
The evolution registered in the first minutes of the session leaves what was the largest promoter in China with a market capitalization of about HKD4.29 billion.
The conglomerate presented its results for the first half last night, which reflected a year-on-year reduction in half of its net loss to some RMB33 billion ($4.52 billion) and a total liability of RMB2.39 trillion at the end of June.
On Friday night, the company said it had already met all the requirements and confirmed that it had requested the resumption of its listing as of Monday, an initiative its electric vehicle and real estate management subsidiaries had already taken this month.
These announcements came just days after Evergrande filed for bankruptcy in the United States to protect its assets from creditors while it continues to negotiate a debt restructuring.
The financial position of many Chinese real estate companies worsened after, in August 2020, Beijing announced restrictions on access to bank financing for developers that, as Evergrande, had accumulated high debt levels, supporting their growth for years with aggressive leverage policies.
In recent months, given the crisis in the sector, the government has changed its tune and has announced various support measures, with state banks also opening multi-million dollar lines of credit to various developers. EFE