HONG KONG (Reuters) -- Shares of Chinese property developer Kaisa Group Holdings plummeted as much as 41% on Friday after they resumed trading following a halt since March 31, 2022, wiping $300 million off the company's market value.
The Shenzhen-based firm published its long-delayed earnings results late on Thursday for fiscal 2021 and the first half of fiscal 2022, posting significant losses and big drops in revenue.
Kaisa is one of many Chinese developers that have defaulted on their offshore debt after the sector plunged into a debt crisis in late 2021 amid a cash squeeze and slowing sales, with some now scrambling to enter into restructuring agreements with their creditors.
"The Group will remain [in] communication with creditors and publish its update on the restructuring progress in due course," Kaisa said in a statement.
For the six months ended June 31, 2022, Kaisa reported an attributable loss of 7.67 billion yuan ($1.10 billion), compared to a profit of 3 billion yuan recorded a year earlier. The company posted a loss of 12.73 billion yuan in 2021.
