By P.R. Venkat
China Evergrande Group will give up its land use rights of a football stadium in China for 5.52 billion yuan ($817.89 million), as the embattled property developer looks for ways to pare debt.
The real estate conglomerate will return the land to its owner, China's Guangzhou Municipal Planning and Natural Resources Bureau, China Evergrande said late Thursday.
Evergrande said it will incur a CNY1.255 billion loss from the deal.
The conglomerate has struggled to meet its debt obligations since the summer, and has missed final deadlines for interest payments on several U.S. dollar bonds. All three major credit-rating companies have declared it to be in default. Evergrande had more than $300 billion in liabilities as of June 2021.
"The group's liquidity issue has adversely affected the development of and construction on the land," Evergrande said.
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(END) Dow Jones Newswires