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In February 2020, in response to the [[COVID-19 pandemic]], the Sydney office of a Country Garden subsidiary, Risland Australia, sourced 82 tonnes of supplies, which were subsequently airlifted to Wuhan. This [[daigou]] operation has caused concern in Australia.<ref name ="Risland">{{cite news|url=https://www.smh.com.au/national/second-developer-flies-82-tonnes-of-medical-supplies-to-china-20200326-p54e8n.html |title=Second developer flew 82 tonnes of medical supplies to China |author=McClymont, Kate|date=27 March 2020|work=[[The Sydney Morning Herald]]|access-date=27 March 2020}}</ref>
In February 2020, in response to the [[COVID-19 pandemic]], the Sydney office of a Country Garden subsidiary, Risland Australia, sourced 82 tonnes of supplies, which were subsequently airlifted to Wuhan. This [[daigou]] operation has caused concern in Australia.<ref name ="Risland">{{cite news|url=https://www.smh.com.au/national/second-developer-flies-82-tonnes-of-medical-supplies-to-china-20200326-p54e8n.html |title=Second developer flew 82 tonnes of medical supplies to China |author=McClymont, Kate|date=27 March 2020|work=[[The Sydney Morning Herald]]|access-date=27 March 2020}}</ref>

On August 7, 2023, Country Garden had two US dollar bond coupons (approximately $22.5 million) that had expired and had not yet been paid.<ref>{{Cite web |last=Glickman |first=Ben |title=碧桂园被剔出香港恒生指数 |url=https://cn.wsj.com/articles/碧桂园被剔出香港恒生指数-3a2ff953 |access-date=2023-08-20 |website=华尔街日报中文网 |language=zh-CN}}</ref><ref>{{Cite news |title=背负“恒大级”万亿负债的巨人碧桂园 会否“倒在黎明前” |language=zh-hans |work=BBC News 中文 |url=https://www.bbc.com/zhongwen/simp/business-66509334 |access-date=2023-08-20}}</ref>


== Management ==
== Management ==

Revision as of 04:53, 20 August 2023

For the English folk tune, see Country Gardens.
Country Garden Holdings Company Limited
碧桂园控股有限公司
Native name
碧桂園控股有限公司
Company typePublic[1]
IndustryReal estate, education
Founded1992
FounderYang Guoqiang
Headquarters
Shunde, Guangdong
,
China
Area served
China, Malaysia,[2] Australia[3]
Key people
Chairman: Yang Huiyan(楊惠妍)[4]
Largest shareholder: Yang Huiyan
ProductsLanded & high-rise residential, commercial, leisure and hospitality developments
ServicesProperty and facilities management, hotel management, schools
RevenueDecrease US$ 63,978.9 million (2023)[1]
Decrease US$ -899.7 million (2023)[1]
Total assetsUS$ 252,923.9 million (2023)[1]
Total equityIncrease US$ 29,522.6 million (2023)[1]
Number of employees
Decrease 69,932 (2023)[1]
SubsidiariesCountry Garden Properties (Malaysia) Sdn. Bhd.,[5] Country Garden Danga Bay Sdn. Bhd.[2]
Websitewww.countrygarden.com.cn

Country Garden (Chinese: 碧桂园; pinyin: Bìguìyuán; Jyutping: bik1 gwai3 jyun4) is a property development company based in Guangdong, China, owned by Yang Guoqiang's family. It ranked 206th in Fortune Global 500 list of 2023.[1] Country Garden features a market capitalization of over US$29.84 billion as of 2018;[6] with 187 high-end township developments throughout China, Malaysia and Australia among its vast international project portfolio. The company is incorporated in the Cayman Islands.[1]

Its headquarters are in the town of Beijiao (simplified Chinese: 北滘镇; traditional Chinese: 北滘鎮; pinyin: Běijiào Zhèn), in Shunde District, Foshan.[7]

History

Established in 1992[8] in Shunde, Guangdong, Country Garden was listed on the Hong Kong Stock Exchange on April 20, 2007.[9] Founder Yang Guoqiang built the company from scratch, having previously worked as a farmer and on construction sites.[10] The company now has interests in property development, construction, fitting and decoration, property management and hotel operations in a wide variety of global markets.

In 2005, Yang transferred his shares in Country Garden Holdings Company Limited to his daughter, Yang Huiyan. In October 2007, she was declared the richest woman in Asia by Forbes magazine, with a net worth of US$16 billion.[11]

In 2014, Country Garden was ranked the 6th largest property developer in China by sales revenue.[12]

On April 2, 2015, Chinese insurance giant Ping An became the second largest shareholder in Country Garden by acquiring 9.9% of the company for US$800 million.[13]

In February 2020, in response to the COVID-19 pandemic, the Sydney office of a Country Garden subsidiary, Risland Australia, sourced 82 tonnes of supplies, which were subsequently airlifted to Wuhan. This daigou operation has caused concern in Australia.[14]

On August 7, 2023, Country Garden had two US dollar bond coupons (approximately $22.5 million) that had expired and had not yet been paid.[15][16]

Management

Due to age reasons, Yang Guoqiang(Yeung Kwok Keung, 楊國強) resigned the position of the chairman of the board of Country Garden in February, 2023. Yang Guoqiang's daughter Yang Huiyan, the largest share holder of Country Garden, succeeded the role of the chairman.[17][18] After the resignation, Yang Guoqiang kept the role of special adviser to the Cayman Island registered company.[18]

International developments

Country Garden's first venture outside of China is the Country Garden Danga Bay (CGDB) coastal development in Johor Bahru, Iskandar Malaysia,[2] with a sales figure of US$1.57 billion (MYR5.0 billion) on the day of its official launch.[19] Similarly, its second Malaysian project in Semenyih, Selangor termed Country Garden Diamond City had 70% of its total units for Phase 1 sold in early June 2014.[citation needed]

'Risland Australia',[14] Country Garden's overseas venture in Sydney also garnered strong sales, with 296 apartments at its Ryde Garden[3] development sold within six hours in late June 2014; generating US$169 million (AUD180 million) in the process.[20]

Liquidity Crisis

As of August 8, 2023, according to statements from a consortium of investors based in Hong Kong, the company defaulted on the cumulative amount of US$45 million with regard to interest disbursements linked to two offshore U.S. dollar bonds. The company enjoyed a leeway of 30 days to effect the payments. Should it not meet these financial obligations within the aforementioned time limit, it would default on the stipulations contained in the bond agreements.[21]

There had been rumours before about the financial health of Country Garden, which erects residential properties in third and fourth-tier urban locales. The valuation of its equities had witnessed a precipitous decline. In January 2023 the stock price had been HK$3.24 (equivalent to 41 U.S. cents). This valuation reflected sanguine anticipations of an economic resurgence in China, coupled with an uptick in real estate transactions after the relaxation of "zero covid" policies. As the denouement of July 2023 approached, the company's share value had ebbed significantly, however, bottoming out at HK$1.58.[21]

On 10 August 2023, Country Garden warned of a large net loss for the first six months of 2023 due to impairment on property projects and declining profit margins; the loss was expected to be in the range of CN¥ 45 billion(US$6.25 billion) to CN¥ 55 billion, after a net profit of around CN¥ 1.91 billion in the same period in 2022.[22] The company's shares fell up to 14.4 percent to a record low on the day following the profit warning,[22] closing below HK$ 1 for the first time.[23]

On 10 August 2023, Country Garden has appointed China International Capital Corporation (CICC), as its financial advisor to handle the restructuring of its public market debt, with preliminary decisions expected to be made in the near term.[24]

On August 12, 2023, Country Garden Real Estate Group announced the suspension of trading for eleven onshore bonds on the Shenzhen Stock Exchange and Shanghai Stock Exchange starting August 14, following its controlling shareholders' disclosure of a significant first-half loss. This decision affects multiple yuan-denominated corporate bonds issued in 2021 and 2022, with discussions about restructuring due to liquidity challenges. The company's bonds have faced a sharp decline in value since August 2023, prompting discussions with bondholders about repayment arrangements and potential solutions to address financial difficulties.[25][24]

Controversy

In Jun 2018, Country Garden halted all projects in China for security inspections following an accident at its construction site in the eastern province of Anhui that killed six people.[26]

In Aug 2018, Malaysia's Prime Minister Mahathir Mohamad reportedly said he intends to ban foreigners from buying homes being built by Country Garden in the southern tip of the country.[27]

In October 2019, Country Garden, via Walker Corporation, was given approval to develop stage one of South East Wilton in Sydney Australia.[28] This is controversial because the eastern side of the site will cut Koala corridors along Allens Creek. The Greater Macarthur area, of which South East Wilton is the most southern section, is home to the largest recovering Koala colony in New South Wales.[29]

See also

Notes

  1. ^ a b c d e f g h "Country Garden Holdings". Fortune. Retrieved 15 August 2023.
  2. ^ a b c "Country Garden Danga Bay Johor Bahru Iskandar Malaysia".
  3. ^ a b "Ryde Garden".
  4. ^ "董事名單與其角色和職能" (PDF). Retrieved 11 August 2023.
  5. ^ "COUNTRY GARDEN PROPERTIES - Five Stars Property Developer in Kajang & Rawang". www.countrygarden.com.my. Archived from the original on 21 June 2013. Retrieved 14 January 2022.
  6. ^ "Country Garden Holdings on the Fortune Global 500".
  7. ^ "OFFICE". Country Garden. Retrieved 2021-02-05. Headquarters Address: Country Garden Center，1 Country Garden Road，Beijiao Town, Shunde District, Foshan, Guangdong 528312 PRC
  8. ^ "China's richest woman's wealth rose by $2bn in four days". The Independent. Retrieved 2018-07-30.
  9. ^ Qian, Li (April 20, 2007). "Woman tops rich list after IPO".
  10. ^ hermes (2015-12-18). "Rags-to-riches story behind founder". The Straits Times. Retrieved 2018-07-30.
  11. ^ China's richest person is 26-year old woman: Forbes, Reuters, Oct 8, 2007.
  12. ^ "Find Out Which Developer Led China's Top 10 for 2014". 6 January 2015.
  13. ^ Frangos, Alex (2 April 2015). "Ping An Plants Cash in Country Garden". The Wall Street Journal. Archived from the original on 2019-10-10. Retrieved 2020-09-27.
  14. ^ a b McClymont, Kate (27 March 2020). "Second developer flew 82 tonnes of medical supplies to China". The Sydney Morning Herald. Retrieved 27 March 2020.
  15. ^ Glickman, Ben. "碧桂园被剔出香港恒生指数". 华尔街日报中文网 (in Chinese (China)). Retrieved 2023-08-20.
  16. ^ "背负"恒大级"万亿负债的巨人碧桂园 会否"倒在黎明前"". BBC News 中文 (in Simplified Chinese). Retrieved 2023-08-20.
  17. ^ "董事名單與其角色和職能" (PDF). 2023-08-11.
  18. ^ a b "Country Garden founder Yeung resigns, succeeded by daughter Yang Huiyan". South China Morning Post. 2023-03-01. Retrieved 2023-08-11.
  19. ^ "China developer upbeat on property sales here". Archived from the original on 2015-04-02. Retrieved 2015-04-02.
  20. ^ "$300m worth of new units sell in a day". 2 July 2014.
  21. ^ a b "In Depth: Country Garden's Troubles Mount as It Misses Offshore Bond Interest Payment - Caixin Global". www.caixinglobal.com. Retrieved 2023-08-10.
  22. ^ a b "Country Garden warns of large first-half loss amid real estate sector pressures". South China Morning Post. 2023-08-10. Retrieved 2023-08-11.
  23. ^ "2007: Country Garden Holdings Co Ltd Stock Price Quote - Hong Kong - Bloomberg Markets". Bloomberg.com. Retrieved 2023-08-12.
  24. ^ a b "展期重组在即 碧桂园11只公司债进入停牌". finance.caixin.com. Retrieved 2023-08-13.
  25. ^ "Country Garden to suspend trading of at least 10 onshore bonds". South China Morning Post. 2023-08-13. Retrieved 2023-08-13.
  26. ^ "China's Country Garden resumes work on most projects after accident: analysts". RETUERS. Reuters. 2018-07-31. Archived from the original on 2019-10-10. Retrieved 2020-09-27.
  27. ^ "A 'painful lesson' for Chinese developer Country Garden". CNBC. 2018-08-28. Archived from the original on 2019-12-11. Retrieved 2020-09-27.
  28. ^ Su-Lin Tan (11 December 2019). "Walker Corporation and Risland team up to build South East Wilton". Australian Financial Review. Archived from the original on 2020-07-28. Retrieved 27 September 2020.
  29. ^ "We must protect them!". Total Environment Centre. Archived from the original on 2020-07-13. Retrieved 27 September 2020.

External links

  • Business data for Country Garden:
Wikimedia Commons has media related to Country Garden (Holdings).
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