China Evergrande Group says the building is underway on several of its residential projects in southern China, as the heavily indebted developer strives to avoid bankruptcy and deliver the houses promised to over a million people.
In a pair of social media posts over the weekend, Evergrande said that work on more than ten projects in and around Shenzhen, where the company is based, had resumed, and that work on other projects in the Pearl River Delta region near China's southern coast was proceeding in a "steady, safe, and orderly" manner. Hundreds of its construction projects, according to the developer, have been halted in recent months.
The firm could not explain how it was able to restart or finance the initiatives. Evergrande announced in August that building at a number of sites had been paused due to late payments to suppliers and contractors and that it was attempting to re-start work. It was paying vendors with incomplete units in certain circumstances.
According to a Chinese state-owned media outlet, the weekend updates from the company's onshore property-development business came shortly after Evergrande surprised international investors and avoided a default by making $83.5 million in overdue interest payments on around $2 billion of outstanding dollar bonds.
Two financial industry specialists confirmed on Monday that their Evergrande bondholder customers had received the payments.
According to Ting Lu, senior China economist at Nomura, Evergrande also sought to demonstrate to the market that it still intends to fulfill its loan.