China's Most-Indebted Developer Has a Risky Shadow Loan Habit

China Evergrande wants to reduce leverage and diversify its business amid a key concern. Katrina Nicholas reports.(Source: Bloomberg)
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China Evergrande Group, the country’s most indebted developer, has a lot more work to do as it tries to win over investors with plans to reduce leverage and diversify its business.

One key concern as Evergrande’s stock slides toward a 15-month low and its dollar bonds tumble: the company’s continued reliance on China’s shadow banking system.