China Evergrande's EV Subsidiaries Ordered into Bankruptcy

Court mandates reorganization as creditors push for resolution amid financial struggles

Two Evergrande EV subsidiaries will enter bankruptcy and reorganization following a court ruling.
The decision follows creditor applications filed in late July.
Shares of the EV group dropped significantly after the announcement.
A creditor meeting is scheduled for October 22 at the Guangzhou Intermediate People's Court.
Ongoing talks with a potential buyer may influence the future of the EV unit.