According to a report published by Bank of America Securities,China Evergrande (03333.HK)It was announced yesterday that an agreement has been reached with some of Evergrande Real Estate's strategic investors. Currently, at least two-thirds of the investors have agreed not to request a repurchase and have promised to continue holding shares. The results of the negotiations are better than the bank's expectations. It is believed that the market's concerns about the company can be dispelled. The target price is 18.6 yuan, and the rating is “neutral.”

The report points out that negotiations with war investment are progressing well, which will help Evergrande maintain relationships with banks and financial institutions, avoid worsening credit conditions and affect short-term debt refinancing, and also dispel buyers' doubts about whether the real estate can be successfully delivered in the end.

The bank also believes that investment under the new agreement will no longer have new profit requirements for Evergrande Real Estate. The incident has had a positive impact on the domestic housing industry, and is expected to help stimulate a recovery in Evergrande and the industry's stock prices. However, Bank of America also warned that Evergrande's active deleveraging, and the possibility of a potential tightening of market policies, its profit margins may be under pressure, and they tend to choose Shimao (00813.HK) and Xu Hui (00884.HK) and other high-quality private housing enterprises were given target prices of 8.3 yuan and 40 yuan respectively. (gc/da) (Quotation delayed at least 15 minutes. (The short selling information is as of 12:25 on the 30th of 2020.)