China Lockdowns May Add to Builder Liquidity Stress: Lucror

Published 11 April 2022, 12:15 pm HK

“Given current market sentiment and the resurgence of Covid-19 cases resulting in lockdown in certain cities, companies may face greater pressure on their already strained liquidity,” said Shu Hui Woon, a credit analyst at Lucror Analytics. That may lead to default if they are not able to raise enough cash through alternative ways, such as asset disposals, the analyst said.