Shares of struggling Chinese property developer Sunac China fell 38% on Thursday morning following trading resumed that lasted more than a year.
The stock slump comes a day following the company told the Hong Kong stock exchange that it would resume trading and was implementing a debt restructuring plan.
The shares fell almost 60% before the market, but the losses were reduced following the market opened.
Sunac is one of many Chinese developers who defaulted last year as the property sector was in the grip of a debt crisis.
Over the past two years, Chinese real estate companies have struggled to sell new homes or sold them at prices below expectations. As a result, Beijing began rolling out supportive policies late last year.
Sunac said in late March that it had reached agreements with a group of foreign creditors to convert its debt into new notes and convertible bonds backed by its Hong Kong-listed shares and those of its property management unit Sunac Services.
Sunac released its late 2022 interim results last month, which showed a loss of 11.06 billion yuan ($1.61 billion).
($1 = 6.8730 Chinese yuan)
