What went wrong at China’s Evergrande and what's next

"A restructuring that prioritises homebuyers might not leave much for other creditors, with offshore investors likely to be the biggest victims, analysts said."

I am thinking of the fact that European banks were some of the ones hard-hit by America's real-estate bust in 2008. Is it possible that large American financial firms are heavily invested in China's economy, and are about to get hit by a dose or karma?

A restructuring would be the easiest thing, but I've heard other companies in China are in a similar boat. Does this need to be contained to evergrande? Is this the beginning of a slow downward spiral?