China Evergrande to raise US$2 billion in pre-IPO for property, car marketplace unit
BusinessChina Evergrande Group on Monday said it will sell 10per cent of its online real estate and automobile marketplace, Fangchebao (FCB), to 17 investors for HKUS$16.35 billion (US$2.10 billion), in a fundraising ahead of the unit's initial public offering (IPO).
FILE PHOTO: A logo of China Evergrande Group is displayed at a news conference on the property developer's annual results in Hong Kong, China March 28, 2017. REUTERS/Bobby Yip29 Mar 2021 01:00PMShare this contentBookmarkHONG KONG: China Evergrande Group on Monday said it will sell 10per cent of its online real estate and automobile marketplace, Fangchebao (FCB), to 17 investors for HKUS$16.35 billion (US$2.10 billion), in a fundraising ahead of the unit's initial public offering (IPO).
FCB, with a pre-financing valuation of over 150 billion yuan (US$22.92 billion), could list on the Nasdaq or other suitable stock exchange, Evergrande said in a bourse filing.AdvertisementAdvertisementThe 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. headtopics.com
Its interest-bearing debt was about US$110 billion at year-end.The firm listed Evergrande Property Services Group Ltd in December, raising US$1.8 billion. In January, China Evergrande New Energy Vehicle Group Ltd said it would raise US$3.4 billion by bringing in six new investors.
China Evergrande Group's share price soared as much as 8.5per cent in morning trade to HKUS$16.08.AdvertisementAdvertisementEvergrande 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 15per cent 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.AdvertisementThe developer is due to announce its 2020 earnings on Tuesday.(US$1=7.7714 Hong Kong dollars)(US$1=6.5441 Chinese yuan renminbi) headtopics.com
(Reporting by Clare Jim; Editing by Christopher Cushing) Read more: CNA »
2 influencers face deportation from Bali over painted-on face mask prank
Philippines' defence secretary says China intends to occupy more South China Sea areasMANILA: The Philippines' defence secretary said on Sunday (Apr 4) that China was looking to occupy more areas in the South China Sea, citing the ... 4.4.2021 The dudirty legacy 👊 Chief we knew it from the very first time CCP drew the perforated line over the sea and reclaim the first island in front of your doorstep.
China firms tap virus-driven liquidity to raise record US$148 billion in equity dealsChinese companies raised a record US$148 billion through global equity capital markets in the first four months of 2021, data showed, as they ... Sebuah pesan kepada Umat -Nabi Muhammad SAW bersabda, 'Saya ingin anda berkongsi mimpi yg telah diperlihatkan oleh Allah kepada anda, & menyebarkan pesan saya kepada orang ramai’, mimpi ilahi Muhammad Qasim tahun 2015. Ketahui lebih lanjut ttg mimpi ini di Muhammad Qasim, seorang muslim dan umat Nabi Muhammad SAW, telah melihat mimpi Ilahi untuk masa depan umat Islam dan peristiwa-peristiwa yang akan datang. Banyak mimpinya menjadi kenyataan. Ketahui lebih lanjut di atau cari 'Muhammad Qasim Dreams'
Mainland China reports 11 new COVID-19 casesSHANGHAI: Mainland China reported 11 new COVID-19 cases on Apr 18, down from 16 cases a day earlier, the country's national health authority said ...
What's next for Jack Ma's Ant Group after China orders revamp?HONG KONG: China has imposed a sweeping restructuring plan on Jack Ma's Ant Group, the fintech conglomerate whose record US$37 billion IPO was ...
North Korea's COVID-19 lockdown shows signs of easing as China trade soarsBEIJING: China's exports to North Korea in March rose to a six-month high, with outbound shipments to its neighbour that month nearly 400 times ...