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9/24, 5:03 PM (Source: TeleTrader)
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Evergrande misses crucial bond payment deadline - report

China Evergrande Group missed the deadline to pay its $83.5 million in coupon payment on dollar bonds with a face value of $2.03 billion to global investors, the Wall Street Journal reported on Friday.

The company was due to make the interest rate payment by September 23 and was seen largely as a test of the real estate developer's chance to avoid a default. However, the report noted that the bondholders didn't receive any money and now a 30-day grace period is in effect, with Evergrande can still being able to deliver on its payments, after which bondholders can call a default.

Previously, it was reported that China was telling its state-owned businesses and local authorities to prepare for the potential collapse of Evergrande. Meanwhile, the European Central Bank noted that its direct exposure to Evergrande was limited.

Breaking the News / OL