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China Evergrande to raise $2 bln in pre-IPO for property, car marketplace unit

Reuters2021-03-29

HONG KONG, March 29 (Reuters) - China Evergrande Group

on Monday said it will sell 10% of its online real estate and automobile marketplace, Fangchebao $(FCB)$, to 17 investors for HK$16.35 billion ($2.10 billion), in a fundraising ahead of the unit's initial public offering $(IPO.UK)$.

FCB, with a pre-financing valuation of over 150 billion yuan ($22.92 billion), could list on the Nasdaq or other suitable stock exchange, Evergrande said in a bourse filing.

The country's most indebted developer has said it would spin off several units to lower its debt amid tighter industry regulation and investor concern about its cash flow.

Its interest-bearing debt was about $110 billion at year-end.

The firm listed Evergrande Property Services Group Ltd

in December, raising $1.8 billion. In January, China Evergrande New Energy Vehicle Group Ltd said it would raise $3.4 billion by bringing in six new investors.

China Evergrande Group's share price soared as much as 8.5% in morning trade to HK$16.08.

Evergrande said the FCB deal would see half of funds raised through selling existing stock and the other half by issuing new shares. The developer will use half of the funds for its own general corporate proposes.

The 17 investors include CITIC Capital and the family of the chairman of New World Development Co Ltd , plus the chief executive of Evergrande, Xia Haijun.

Investors can request Evergrande repurchase the shares at a 15% premium if FCB does not complete its IPO within one year, Evergrande said.

"The group's financial strength will greatly be enhanced, furthering the rapid development of FCB," Evergrande said.

The developer is due to announce its 2020 earnings on Tuesday.

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  • 股你怕么
    ·2021-03-29
    Still prefer nio 😅
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  • Vilianty
    ·2021-03-29
    Yes
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  • kt888
    ·2021-03-29
    Careful
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  • Kuropetal
    ·2021-03-29
    Ooh
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  • MoneyKing
    ·2021-03-29
    Like and comment 🚀🚀
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    • BLMJ
      Ok
      2021-03-29
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  • Neil19
    ·2021-03-29
    Good news
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    • HUATkueh
      Ok
      2021-03-29
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  • WoBuZhiDao
    ·2021-03-29
    Comment and like please:)
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    • Aaronykc
      Please reply
      2021-03-29
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    • WoBuZhiDao
      Ok
      2021-03-29
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    • MoneyKing
      Ok...please reply my Comment
      2021-03-29
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  • meowmeowme
    ·2021-03-29
    The one without a single car sale?
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  • PYthon888
    ·2021-03-29
    nice 
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  • SIPING
    ·2021-03-29
    Please like my post 
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    • bshian
      Done
      2021-03-29
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    • raidou
      Done please reply back
      2021-03-29
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  • YLim
    ·2021-03-29
    Wow
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    • SIPING
      Ok
      2021-03-29
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  • Ahvi
    ·2021-03-29
    Nice
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  • Kristyng
    ·2021-03-29
    Wow
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    • Acestars
      wow
      2021-03-29
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  • KaiE
    ·2021-03-29
    [微笑] 
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  • ZiiHengg
    ·2021-03-29
    Like 
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  • Kaihong
    ·2021-03-29
    Cool 
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    • KaiE
      [微笑]
      2021-03-29
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    • Kaihong
      Jdjfn
      2021-03-29
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    • KaiE
      Hi
      2021-03-29
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    查看更多 2 条评论
  • Gogogolll
    ·2021-03-29
    Please like n comment
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    • Jun168
      Ok
      2021-03-29
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    • Jun168
      Reply To my comment please
      2021-03-29
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  • Jiawei725
    ·2021-03-29
    Good
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  • LohYK
    ·2021-03-29
    EV market is red hot. Everyone seems so good
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  • TriciaChang
    ·2021-03-29
    Cool. Help to like and comment pls
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    • Jchptan
      Hi
      2021-03-29
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    • Llwwhh
      Help to top conment
      2021-03-29
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