Shares of Evergrande Jumped 13% following Steps Towards Restructuring

Shares of China Evergrande Group jumped more than 13% on Monday, following the company said it would appoint a official from a unit of state asset manager China Cinda Asset Management to its board.

Assets of Evergrande are expected to be taken over state-owned firms in a restructuring lead by the Guangdong provincial government. The appointment of a state asset manager could mean the restructuring of the company moving forward.

Earlier, financial intelligence provider REDD that said the provincial government was aiming to release a framework debt restructuring plan for Evergrande by March.