2012-04-10

Hangzhou developer with ¥60 million in debt and unpaid taxes goes bankrupt

Hangzhou Venus Real Estate filed for bankruptcy and the petition was accepted by the court. Debt is ¥40 million and unpaid taxes ¥24 million; the firm ranks number 2 in Hangzhou for unpaid taxes. It's parent company, Zhejiang Zhongjiang, also filed for bankruptcy protection.

This is a small developer and we will see many more exit the market this year mainly due to poor financial management. A rising tide lifts cash flow for almost all companies in the industry, but as the market really turns down in 2012, firms that do not have adequate cash flow to match debt servicing needs will go bust.

杭州一家房企欠税欠款6千余万申请破产
杭州首现房企申请破产案例 专家称破产数量还会增加

No comments:

Post a Comment