CNN Business could not independently verify that the payment had been made, and Evergrande did not immediately respond to a request for comment. The interest owed was worth $ 47.5 million for a bond maturing in March 2024, according to data from Eikon Refinitiv.
Friday’s reports come a week after Evergrande reportedly paid $ 83.5 million in past due interest on a dollar bond, also shortly before the grace period expired.
It is unclear where Evergrande gets the money to pay off these debts. But some media have suggested that the company’s president, Xu Jiayin, is being pressured to put his hand in his pockets to keep it afloat.
Evergrande’s mainland China division, Guangzhou Kailong Real Estate, also yielded six million shares, worth 15.48 million yuan ($ 2.4 million), in a Shenzhen-listed development group called China. Calxon Group on Tuesday, according to a stock exchange document from that company. Evergrande still owns about a fifth of that company through Guangzhou Kailong.
However, Evergrande still owes enormous debt. Its total liabilities are around $ 300 billion. And the company still has $ 148 million in unpaid interest that was due last month.
The company also has a few hundred million dollars in payments this year, including an interest payment of $ 14.25 million on a dollar bond due tomorrow, according to Eikon Refinitiv.
Evergrande shares fell 3% in Hong Kong on Friday.
An Evergrande flaw it would likely trigger cross-defaults and send shockwaves to other parts of the Chinese economy.
Yields on offshore bonds issued by Chinese companies have also skyrocketed, making it more difficult for those companies to raise money.
And several smaller Chinese developers have defaulted its overseas debts in recent weeks, including Shenzhen-based Fantasia Holdings and Beijing-based Modern Land.
“Access to finance for Chinese property developers has narrowed … significantly and rapidly in recent weeks, as banks and bond investors have become nervous about real estate,” analysts at Moody’s. wrote in a report Thursday.
They added that property sales have also declined due to limited developer spending and homebuyer concerns about whether the properties will be completed.
Beijing appears to be taking note of the risks of failing to meet foreign debt obligations.
On Tuesday, Two major economic regulators asked companies “in key industries” to redeem the principal and interest on their bonds abroad. The agencies said they want companies to pay off foreign debt to protect their own reputations, as well as the “general order of the market.”