(MT Newswires) -- The Supreme Court of Hong Kong has ordered the liquidation of property giant Evergrande, recognised as the world's most indebted developer with debt in excess of $300 billion. Most of this debt is concentrated in mainland China, while offshore creditors hold around $20 billion. Following the failure of a restructuring plan, the liquidation will encompass Evergrande's offshore assets, including its listed subsidiaries and its electric vehicle division, which has yet to produce any vehicles. The appointment of a liquidator is expected to lead to the seizure of assets on Chinese territory, a process that could take years. Evergrande's shares have been suspended from trading on the Hong Kong stock exchange. This liquidation is a turning point in China's property crisis and could continue to erode the confidence of property buyers as well as the overall sales momentum in the sector.
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