HONG KONG/SHANGHAI (Reuters) -The provincial government leading China Evergrande Group's restructuring wants to separate the company's offshore assets and sell them to pay off foreign debt, a media report said on Friday, in a boost to foreign lenders' hopes of recouping funds. Financial intelligence provider REDD said on Friday the provincial government in Guangdong, where Evergrande is based, aimed to release a framework debt restructuring plan by March that could also wipe out the 60% stake of the group's chairman.
Evergrande bondholders warn of legal action over ‘lack of engagement’. Group says it hopes going public will prompt action from heavily indebted property developer
A key group of China Evergrande's international creditors said on Thursday they were ready to take "all necessary actions" to defend their rights if the property developer did not show more urgency to resolve a default. Evergrande is the world's most indebted property company, with more than $300 billion in total liabilities, which include nearly $20 billion of international bonds all deemed to be in default after a run of missed payments late last year. The creditor group, represented by law firm Kirkland & Ellis and investment bank Moelis, said in a statement it had to "seriously consider" enforcement action after a lack of engagement by the firm at the heart of China's property crisis.