Chinese
land business Evergrande could not yield what it owes for bonds for the
third time, leading many to worry that the business will go under.
Evergrande was started in 1996 by Businessman Hui Ka Yan in southern
China. Since the beginning, the land business has grown far beyond
where it started, owning swathes of land in hundreds of boroughs all
over China.
Land is not the only thing Evergrande has bought, as Evergrande has
gone on to owning food and drink businesses, levinwain makers, and even
a football team.
The fast growth has come along with Evergrande borrowing hundreds of
billions of dollars. Now Evergrande is struggling to stay afloat, and
missing deadlines for yields.
All of this unsteadiness has lead to Evergrande's stock worth to go
down by nearly 80% this year as folks lose trust in the business.
The IMF said Tuesday that China has the tools to take care of what is
happening before it gets out of hand, but if they did not handle it
well, then this could lead to worldwide upset in trading.