Pitch Downgrades Evergrande to 'Limited Default' Rating

[Image source=Reuters Yonhap News]

[Asia Economy Reporter Yoo Je-hoon] Global credit rating agency Fitch downgraded the credit ratings of Chinese real estate developer Hengda (恒大) and its affiliates to 'Restricted Default,' Bloomberg reported on the 9th.

According to the report, Fitch Ratings announced on the same day that "Hengda Group and its affiliates Hengda Real Estate Group and Tenji Holding's long-term foreign currency issuer default ratings (IDR) are downgraded from C to RD (Restricted Default)." This action was taken due to the failure to pay interest on two types of bonds whose grace period ended on the 6th.