HONG KONG : The sister company of cash-strapped Chinese property developer Country Garden said on Tuesday it will ensure its financial independence and not engage in any transfer of benefits nor unnecessary connected transactions.
Country Garden Services, responding to market concerns over corporate governance in the property sector, told an earnings conference it has not used any of its deposits as collateral or guarantees for its sister company. CFO Peng Huang said the firm, however, will assist Country Garden in ensuring the delivery of homes to buyers.
Country Garden, China's largest private developer, sparked concerns about its liquidity this month after it missed two dollar coupon payments and sought to extend repayment on an onshore private bond.