SAO PAULO, March 2 (Reuters) - A São Paulo court granted Brazilian homebuilder PDG Realty SA bankruptcy protection on Thursday, the company said in a securities filing.
PDG sought protection from creditors last week to enable it to restructure its debt, Brazil’s second publicly listed builder to do so in less than six months.
PDG’s gross debt was 5.4 billion reais ($1.75 billion) at the end of September, according to a quarterly earnings report. The company had 235 million reais of cash on hand at the time.
Weak demand, growing sales cancellations, stalled construction projects and lawsuits from clients and contractors dogged PDG’s efforts to deal with its debt burden. (Reporting by Anthony Boadle; Editing by Lisa Shumaker)