The collapse of a business empire is as suspenseful as a suspense**, and the complex story line is dizzying. When China's real estate giant Evergrande Group announced its liquidation, the wealth and power of its founder, Xu Jiayin, disappeared overnightGame of Thrones, after all, cannot escape the sanctions of economic laws.
Once the real estate overlord, now the debt hole, the ending of Evergrande Group is like a script with ups and downs. On January 29, 2024, this name is destined to leave a heavy mark on the litigation record of the High Court of Hong Kong.
Liquidation, a legal term that ruthlessly declares the fate of Evergrande, which, as the word suggests, will force the company to sell all its assets to pay off its huge debts.
All of this is happening under the impetus of creditors, who can no longer tolerate Evergrande's delay and uncertainty, and the court's ruling is undoubtedly in support of their claims.
Xu Jiayin, a name that once made countless people fearful, may soon become a thing of the past. His corporate empire was shattered by the hammer of the courts, and he himself was convicted of breaking the law and committing crimes.
The boss's promise once ignited a flame of hope in the hearts of investors, but the fire gradually dimmed, and eventually investors found that their pockets were empty, and Xu Jiayin was transferring assets in the shadows. his".Technical divorceeven tore off the last fig leaf in front of the public, and his ex-wife Ding Yumei disappeared with her wealth, leaving behind a lot of chicken feathers.
Evergrande's problems go far beyond Xu's personal tragedy. The company's debt is like a mountain, weighing on the hearts of every investor and home buyer. The public's main concern is for houses that have been paid for but have not been delivered.
Evergrande has 677 projects, many of which are located in third- and fourth-tier cities, where the real estate market has been particularly hard-hit. Evergrande's past sales strategy has been criticized as being too aggressive, with some projects being sold out even before the gates are even built, which undoubtedly makes delivery more difficult.
The news on January 8 was thrown into the lake like a heavy stone, stirring up layers of waves. The arrest of Liu Yongzhuo, the executive director of Evergrande Automobile, which was once regarded as Evergrande's most valuable asset, further collapsed the market's confidence in Evergrande.
After Xu Jiayin**, the originally planned external investment also came to an abrupt halt. The future of Evergrande Auto has become bleak, and its state on the verge of bankruptcy is vividly reflected in the financial report: the debt is as high as 7569.2 billion yuan, with negative net assets.
However, for those who do not receive their property on time, the more immediate question is at hand: what will happen to their home, their future? The collapse of Evergrande is not only the end of a business empire, but also means that the dreams and investments of countless ordinary people have come to naught.
In this turmoil, the rise and fall of Evergrande Automobile is particularly embarrassing. Once a star project, its failure highlights the failure of Evergrande Group's risk management.
Liu Yongzhuo, the executive director who single-handedly promoted the development of Evergrande Automobile, also became a prisoner of the law. His fall is undoubtedly a heavy blow to Evergrande Group. Under his leadership, Evergrande Automobile once carried the hope of the group's transformation, however, now this last line of life-saving straw has also been broken.
Xu Jiayin's personal tragedy may have been foreshadowed. His career started with high stakes from the start. From real estate to automobiles to football clubs, Evergrande Group's expansion has never stopped.
However, the aggressive expansion strategy did not bring sustained success to the group, but instead left Evergrande heavily indebted under the double blow of downward pressure on the economy and policy tightening, and finally came to the step of liquidation.
The anger and desperation of investors and home buyers continue to ferment on social **. Many of them have put their life savings into Evergrande's projects and are now at risk of having nothing. In their eyes, Xu's rhetoric has turned into sarcasm, and Evergrande's promises have turned into empty talk.
The story is far from over. Evergrande's liquidation process will be a long and complicated process. Creditors, investors, home buyers, and Evergrande employees will all await the court's final ruling. Each of them hopes to be able to recover some of their losses from this disaster, but the reality is often harsh.
The upheaval in Xu Jiayin's life offers a lesson in the rise and fall of a business empire:NopeNo matter how big your company is or how optimistic the market is, if you ignore basic risk management, you will end up worthless.
Evergrande's case is also a profound warning to China's real estate market and global investorsThere is no eternal winner, only a wise man who constantly adapts to change.