Private equity firm PAG has agreed to buy a majority stake in Evergrande Property Services Group Ltd. for HK$4.03 billion ($514 million), according to a Hong Kong stock exchange filing, confirming a previous Bloomberg report. Offer price set at HK$0.8359 per share, representing a 29.5% discount to last closing price of HK$1.185.
The sale could boost China Evergrande Group creditors’ efforts to claw back funds from the defaulted property developer. Liquidators had recovered about $433 million — less than 1% of the $46 billion sought by creditors — as of Sept. 30, and aim to begin distributing in the first half of 2027.
Evergrande’s collapse was a milestone event in China’s prolonged property crisis, which is still rippling through the world’s second-biggest economy. With its parent company in liquidation, Evergrande Property Services has been working with local governments across China to facilitate housing delivery. Liquidators described the sale of the property management unit as one of three large potential sources of recovery.
Source: Bloomberg Markets · Summarized by HeadlinesBriefing