Xu JiayinChina Evergrande GroupAs a giant in China's real estate industry, the founder and chairman of the board of directors has established deep friendships with many partners. However, withFinanceThe situation has changed andEconomyThe risk has increased, and some of these partners have also encountered varying degrees of hardship. We'll focus on one of these cases, namely:Xu JiayinAnother close friend of the -DecorationBig guyYe Yuanxi, his companyGrandland sharesDue to debt issuesBankruptcy reorganization.This article will look at their partnership, the company's balance sheet, and:Ye Yuanxiand other aspects of the analysis to reveal the fortune twist of the rich man, as well as the plight of the real estate industry.
Ye Yuanxi, a native of Luhe, Shanwei, began working in Shenzhen around 1983. During his time in Shenzhen, he co-founded with Ye YunyueHirotaindustrial companies, and engaged inDecorationBusiness. Ye YuanxiWell versed in market demand to:DecorationDesigned as a breakthrough, it has gradually improvedDecorationThe quality of the business. He withEvergrandeThe Group first came into contact in 2007EvergrandeforGrandland sharesprovided $200 million for the project, accounting for the yearGrandland sharesMore than one-fifth of revenue. Since then,Grandland sharesWithEvergrandeThe Group has established a close working relationship.
Ye YuanxiNot satisfied with being an ordinary familyDecorationThe owner of the company, he hopes to facilitate more orders through financing. To this end, he set up aManagementcompany, for the needDecorationHowever, real estate developers who do not have funds for the time being provide financing services. This model is very popular with real estate developers, when the market is goodYe YuanxiProfit handsomely from it. He even withEvergrandeThe insurance companies work together to take this financing model to the next level.
However, with the changes in the real estate market andEconomyThe situation is constantly deterioratingGrandland sharesGradually, it got bogged down. Faced with this situation,Ye YuanxiWithout hesitation, he subscribed for 5 billion yuan of shares, hoping to put himself inGrandland sharesThe identity of the customer has been changed from a customer to a shareholder, further consolidating withXu Jiayinrelationship. However, plans don't always keep up with changesGrandland sharesProblems such as shortage of funds and project failures were encountered one after another, which eventually led to the company'sBankruptcy reorganization
Grandland sharesis a familyDecorationEngineering company, mainly for real estate developersDecorationIntegrated services for design, procurement and construction. According to the article,Grandland sharesIn withEvergrandeDuring the period of cooperation, great development has been made. InGrandland sharesBefore going public,Ye YuanxiwithEvergrandeAgreements on in-depth cooperation were signed every yearEvergrandetowardGrandland shares$3.5 billion providedDecorationproject, and increase by 1 billion yuan year by year. This makesGrandland sharesRapid development has been achieved in a few years, from a small local company to a large enterprise with a national scaleTurnoverUp to 14 billion yuan.
However, with the downturn in the real estate sector,Grandland sharesThe situation has taken a turn for the worse. According to the article,Grandland sharesThe company's liabilities are as high as 15.1 billion yuan, while its total assets are only 9.2 billion yuan. This has led to a situation of insolvency. Ye YuanxiYou can only applyBankruptcy reorganizationto solve the company's debt problem. In addition,Grandland sharesCredit impairment losses were also seen in the financial statements, with the company reportedly making a total provision of 68800 million yuanBad debtsLoss.
According to the article,Ye YuanxiIt is a typical Chinese urban dreamer. He's inGrandland sharesThe previous experience is not clear, only that he began to get involved while working in ShenzhenDecorationBusiness. In withEvergrandeAfter the cooperation of the group,Ye YuanxiConstantly expanding the scale of their business, the wealth has also grown rapidly from an ordinary oneDecorationThe owner of the company became a billionaire.
However, with the volatility of the real estate sector andGrandland sharesThe dilemma,Ye YuanxiThere were also serious setbacks. Despite the fact that he is withXu JiayinThe relationship was once very close, but heInvestmentsAnd subscribedGrandland sharesbut eventually turned itself into a creditor of the company. This is undoubtedly a huge blow.
According to reports,Ye Yuanxipersonal wealth in this timeBankruptcy reorganizationsuffered significant losses. He fromGrandland sharesThe shares held have made huge losses and are exposed to the risk that they may not be able to recover. In addition, it is reported thatYe YuanxiHe also faced the risk of being collected by the bank for debts and frozen assets, which put more pressure on his personal finances.
Ye YuanxiwithGrandland sharesofBankruptcy reorganizationThe incident highlights the current difficulties facing China's real estate sector. China** has long been committed to controlReal estate bubbles, by strengthening regulatory policies and restrictionsInvestmentsto preventRoom ratesToo fast**. The implementation of this policy has led to the adjustment of the real estate market and the decline in demand, which has put a lot of pressure on real estate developers.
At the same time, due toFinanceThe uncertainty of the situation andEconomyAs risks increase, banks have begun to tighten lending policies and become more cautious about financing the real estate sector. This gives likeGrandland sharesThis makes it even more difficult for businesses that rely on financing. Companies are facing a shortage of funds, project failures, and more, even with theEvergrandeand other large real estate developers are not out of the predicament.
In general,Ye YuanxiandGrandland sharesofBankruptcy reorganizationThe incident not only reveals a turning point in personal fortunes, but also reflects the enormous pressures that China's real estate industry is currently facing. Real estate developers need to face problems such as market adjustments, financial difficulties and project failures, which is very important for ChinaEconomystability andSustainabilityPresents certain challenges.