by Tyler Durden
Tuesday, Apr 13, 2021 - 12:01 PM
The last time we looked at Huarong, China s largest state-controlled bad-debt asset manager and one of the most recognizable financial firms in the country, its former chairman Lai Xiaomin was sentenced to death after he was convicted for stealing 1.8BN yuan (roughly $277M) from the company.
And while we don t know if Lai is still with us, his former employer probably wishes the money he embezzled was still around, because over the past few days Huarong has emerged as the latest a weakest link in China s financial system, one which is sending shockwaves across all of China s capital markets.
China Huarongâs worsening bond rout stokes market contagion
Richard Frost and Rebecca Choong Wilkins
Apr 13, 2021 â 3.59pm
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Hong Kong | Growing panic over the financial health of one of Chinaâs largest bad-debt managers spilt into the broader market, as traders circulated a
Caixin report that openly considered the worst scenario for the company.
China Huarong Asset Managementâs $US300 million 3.375 per cent bond due May 2022 tumbled 13.1¢ on the dollar to 76.1¢, while a 5 per cent bond maturing in 2025 fell 9.9¢ to 79.5¢, Bloomberg-compiled prices show.
Lai Xiaomin, former head of China Huarong Asset Management in court this year. He was sentenced to death.Â
China Huarong s worsening bond rout stokes market contagion bnnbloomberg.ca - get the latest breaking news, showbiz & celebrity photos, sport news & rumours, viral videos and top stories from bnnbloomberg.ca Daily Mail and Mail on Sunday newspapers.
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