Shares in Chinese property developer Sunac China Holdings jumped after it released a statement denying it had officially sought government assistance as volatile trading fuelled by a crisis at Evergrande showed signs of spilling over in the sector.
Hong Kong-listed Sunac had come under intense market pressure after a widely circulated letter from its local office to the Shaoxing municipal government in Zhejiang province warned that the developer was facing “significant” liquidity challenges and requested “policy assistance”.
Shares in the company rose 18 per cent in Hong Kong, after having fallen sharply over the previous two sessions, while the CSI 300 Real Estate index jumped 6.4 per cent after the People’s Bank of China pledged to support liquidity in the sector.