Evergrande suspends shares after order to bulldoze buildings

Shares in Chinese developer Evergrande were suspended from trading yesterday, following reports that it has been ordered to destroy millions of square feet of buildings. The company, which has $300bn of debt, said trading in its stock had been halted pending the release of “inside information” on its prospects. Some $20bn of its international market bonds were deemed to be in default last month after it missed payments. Last week it missed another payment of $255m. Meanwhile, the resort island of Hainan has ordered Evergrande to demolish more than 4m sq ft of residential property, claiming the 39 buildings were constructed illegally. The company is currently undergoing a restructuring process and asset disposal. Over the next quarter Evergrande faces deadlines on principal payments of $3.6bn, as well as interest. The Times (£) The FT (£)