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       China Evergrande Gets an Unexpected Reprieve From Liquidation

       A Hong Kong judge postponed deciding whether to force the breakup of the property developer, which defaulted in 2021 on hundreds of billions of dollars in debt.

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       Judge Linda Chan, of the Hong Kong High Court, set a Jan. 29 hearing in a lawsuit seeking to dismantle China Evergrande. Credit...Vernon Yuen/Associated Press

       By Alexandra Stevenson and Tiffany May

       Reporting from Hong Kong

       Dec. 3, 2023

       Once China’s most prolific property developer, China Evergrande has narrowly averted a long-expected liquidation.

       A Hong Kong bankruptcy judge on Monday gave Evergrande another two months to work out a deal with foreign investors who lost money when the company defaulted two years ago with hundreds of billions of dollars in debt. The judge set another court hearing for Jan. 29.

       It was an unexpected development in a bankruptcy lawsuit filed 18 months ago by one investor so desperate to get paid that he sued to dismantle Evergrande. The judge, Linda Chan, had said in October that she was ready to order the liquidation of Evergrande if it could not reach an agreement with its creditors on how to divide some of the company’s remaining assets.

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       Alexandra Stevenson is the Shanghai bureau chief for The Times, reporting on China’s economy and society. More about Alexandra Stevenson

       Tiffany May covers news from Asia. She joined The Times in 2017. More about Tiffany May

       A version of this article appears in print on Dec. 5, 2023, Section B , Page 1 of the New York edition . Order Reprints | Today’s Paper | Subscribe

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