In a rare move, state-owned China Construction Bank have taken legal action against a property developer.

China’s crisis-hit property market has been dealt a fresh blow as major real estate developer Shimao Group has been hit with a winding-up petition.

State-owned China Construction Bank (Asia) filed the petition in Hong Kong over Shimao’s failure to repay loans worth HK$1.58bn ($201.8m; £159.7m).

It is rare for a Chinese bank to take such legal action against one of the country’s developers. Similar cases against other property firms were launched by overseas-based creditors.