Although Brilliance Auto said it was trying to find a way to solve this bond default, the current situation of Brilliance Auto may be more serious. According to the data disclosed by relevant media and feedback from all parties, Brilliance Auto will embark on the road of restructuring with a high probability.

first, the ins and outs of the breach of contract.

On October 26th, Brilliance Holdings officially issued an announcement, informing the investors that the company is in financial difficulties at present, and it is difficult to pay the code which expires on October 21st. 17 Huaqi 5? Bond, the principal of 1 billion yuan, interest of 53 million yuan. As of the date before, Brilliance Auto has not given a specific redemption plan. Second, the crisis of Brilliance Auto.

brilliance auto's bond default, in fact, the capital market has long foreseen it. Since the second half of last year, Brilliance Auto has repeatedly defaulted in the financial market, which has been punished by relevant institutions and its credit rating has been continuously lowered. However, this default occurred in the public bond market for the first time, which may be just the tip of the iceberg. By the end of this month, Brilliance Auto had paid 14 bonds, amounting to 17.2 billion yuan. At present, Brilliance's liabilities have exceeded 12 billion, almost catching up with its total assets of 17 billion. Third, the road to the future.

Since BMW redeemed 25% of the shares of the joint venture company in 218, Brilliance's share price has been falling all the way. After the redemption fee of up to 3.6 billion euros is put in place, it will temporarily alleviate the funding problem of Brilliance Auto in the short term. However, BMW's cash cow has been stripped off, and Brilliance's own brand has suffered losses year after year, and its vehicles are frequently criticized by consumers for their low quality, frequent failures and after-sales problems. Therefore, if the capital market is not optimistic and it lacks competitiveness, the final outcome is bankruptcy and reorganization.

from 218, China auto market experienced negative growth for the first time. Zotye, Lifan and other car companies have come to a bleak end, many new energy car brands have run away, and the competition of domestic car factories has become increasingly fierce. Brilliance Auto, as an old domestic OEM, has the brand and technical blessing of BMW, but it has fallen to the present stage, and it really hates it. Netizens, how do you think this incident will go? Welcome to leave a message in the comment area.