NEW YORK ¨C Embattled developer China Evergrande Group has filed for protection from creditors in a U.S. bankruptcy court as part of its debt restructuring process, as anxiety grows over China¡¯s worsening property crisis and a weakening economy.
The company sought protection under Chapter 15 of the U.S. bankruptcy code, which shields non-U.S. companies that are undergoing restructurings from creditors that hope to sue them or tie up assets in the United States.
The filing is procedural in nature, but the world¡¯s most indebted property developer with more than $300 billion in liabilities has to do it as part of a restructuring process under U.S. law, two people familiar with the matter said.
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