Troubled real estate developer Evergrande Group is to sell more than half of its property services unit to Hopson Development for more than HK$40 billion (US$5 billion), the company said on October 4.
Hopson had announced a plan to acquire a Hong Kong-listed company and suspended its shares on the Hong Kong stock market on Monday. Trading in Evergrande Property Services also halted and the share price fell, leaving the company valued at around HK$55 billion, 42 percent off compared with December last year when it was listed on HKEX.
Evergrande Property Services has a contract area of 810 million square up about 60 percent in the past year. Its management services cover 450 million square meters, up 77 percent. Evergrande also has plans to sell part of its new energy vehicle group to investors including County Garden Services.
The company has a net profit of about two billion yuan (US$31 million) in the first half, up about 70 percent compared with last year. Evergrande also has plans to sell part of its new energy vehicle group to investors including County Garden Services.