Evergrande s current situation exposed!Experts call it fat, why are everyone scrambling to take it?

Mondo Sports Updated on 2024-01-31

Evergrande's current situation**!Experts call it fat, why are everyone scrambling to take it?

Evergrande Group is facing a financial crisis, but its abundant assets attract investors.

As Evergrande's financial crisis continues to worsen, investors are beginning to question whether it is worth investing in the Chinese property giant. However, despite the problems, Evergrande Group's assets such as industrial chains, industrial licenses, high-quality enterprises, debt management capabilities and land banks still have high value and can attract investors.

First of all, Evergrande Automobile, a subsidiary of Evergrande Group, has a complete automotive production line, which is extremely attractive to investors looking to enter the automotive industry. The automotive industry has always been a lucrative and highly competitive industry, and Evergrande Automobile has a complete industrial chain of R&D, production, sales and other links, which can provide investors with a variety of profit growth points.

Secondly, Evergrande Group has a wide range of industry licenses, which is of great value to newly established companies. An industry license is usually obtained under strict regulatory requirements and represents the company's legal right to operate in the relevant field. Having multiple industry licenses means that Evergrande Group has a layout in multiple fields, which can create more business opportunities for investors.

Third, Evergrande's property business can make a profit of hundreds of millions of yuan every year, and its stable profitability attracts investors. Property management activities of real estate developers tend to have stable cash flows**, while Evergrande Group's property management activities are large and widely distributed, providing investors with a reliable investment option.

In addition, debt disposal is also an important factor for Evergrande Group to attract investors. Evergrande Group transferred part of its debts to Shengjing Bank and a non-performing asset management company, realizing the disposal of debts and giving Evergrande Group breathing space. This also shows that Evergrande Group has the ability and willingness to deal with debt, providing investors with a certain sense of security.

Finally, Evergrande Group's land bank is also one of the reasons for attracting investors. Land is one of the most important assets of a real estate company, and Evergrande Group has a large land bank, the value of which is relatively stable and unlikely to depreciate. This means that these lands have the potential to be monetized, which is an important advantage for investors looking to invest in the real estate sector.

However, the acquisition of Evergrande Group also implies the assumption of corresponding risks, which investors should carefully evaluate. The financial problems faced by Evergrande cannot be ignored, and investors should conduct a comprehensive analysis and evaluation of its financial position to avoid potential risks. At the same time, investors should also take into account the development prospects of the global real estate industry and China's ** policies and regulations on the real estate industry, so as to make informed investment decisions.

In short, although Evergrande Group is currently facing a financial crisis, its assets such as industrial chain, industrial licenses, high-quality enterprises, debt management capabilities and land reserves still have relatively high value, which may attract the attention of investors. However, investors should also carefully evaluate and fully consider the risks and rewards to make informed investment decisions.

Related Pages