Deals
Investors Just Got a Billion-Dollar Lesson in China's 'Mystery Meat'
How Concerned Should We Be Over China Defaults?
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China’s first developer bond default gave global funds a $1 billion-plus lesson. Investors just wish they could understand what it was all about.
The market value of Kaisa Group Holdings Ltd.’s six offshore bonds has fallen by $1.2 billion since the first signs of trouble in October that culminated in missed payments Monday, data compiled by Bloomberg show. Anti-graft probes, incomplete financial disclosure and wayward corporate governance have all been blamed for the decline of a company that had $1.5 billion of cash only 10 months ago. Yet none of the world’s biggest finance companies can say for sure.